Latest News
Audit fails to win U.S. backing for release of Afghan central-bank funds
A U.S. funded audit of Afghanistan’s Islamic Emirate-run central bank has failed to win Washington’s backing for a return of bank assets from a $3.5 billion Swiss-based trust fund, said two U.S. officials and a former U.S. official, a move that would help ease the country’s financial crisis, Reuters reported.
The audit has not changed the U.S. Treasury’s view that the bank must make reforms before the department will support disbursements from the Afghan Fund to Da Afghanistan Bank (DAB), said a U.S. Treasury official on condition of anonymity.
The Swiss-based Afghan Fund was set up last year with half of about $7 billion in central bank funds that were frozen in the Federal Reserve Bank of New York in August 2021 after IEA took control of the country as the last foreign forces withdrew following two decades of war.
DAB must show that it is free “from political influence and interference,” said the Treasury official, referring to the need for professional bankers to replace the three IEA officials who oversee the bank and are under U.S. and U.N. sanctions.
It also must prove that it has “adequate” controls against money-laundering and terrorism financing and install a “reputable” independent monitor, said the Treasury official.
“Our assessment of DAB remains unchanged,” said one of the U.S. officials. Reuters quoted the two officials and the former U.S. official, who has knowledge of the U.S. position, spoke on condition of anonymity because of the confidentiality of the matter.
The IEA administration spokesman and a spokesperson for the Afghan central bank did not respond to request for comment.
Concerns in Washington and other capitals about the bank’s leadership and anti-money laundering safeguards are at the heart of a standoff over the IEA’s demand for the return of DAB cash frozen in the United States and other countries after the Islamic Emirate return.
Because the four-member board that oversees the trust fund must approve disbursements unanimously, the support of its U.S. government representative is essential.
Afghanistan remains mired in grave humanitarian and economic crises that some experts say has been worsened by U.S. restrictions hampering DAB’s ability to perform key central bank functions, such as ensuring stable exchange rates and prices, read the report.
The audit, funded by the U.S. Agency for International Development (USAID) and conducted by an outside contractor, examined DAB’s controls against money laundering and terrorism financing, and its banking oversight and payments departments, according to an April report by the U.S. Special Inspector General for Afghanistan Reconstruction (SIGAR).
The findings have not been made public, Reuters reported.
Calling the audit, a “preliminary assessment,” the Treasury official said its “limitations” suggested that “more comprehensive third-party assessment efforts may be needed.”
Shah Mehrabi, an Afghan-American economics professor who is on DAB’s governing board and co-chairs the Afghan Fund board, said the audit – which he has not seen – was completed in March and currently is with the State Department.
The State Department declined to comment.
Mehrabi and his co-chair, Anwar ul-Haq Ahady, a former DAB governor and former finance minister, told Reuters that they would consider the findings once they are available.
Mehrabi said use of the Afghan Fund’s assets should focus on stabilizing prices and ensuring banks had enough liquidity, as the entire financial system was at risk from declining foreign donor funds to Afghanistan.
The other $3.5 billion in DAB assets frozen in US is being sought in lawsuits against the IEA brought by families of victims of the Sept. 11, 2001, attacks on the United States. A U.S. judge in February ruled against the plaintiffs who are appealing.
Latest News
Afghan official slams Shehbaz Sharif’s ‘shameful’ claims on Islamic unity
Khubaib Ghufran, spokesperson for Afghanistan’s Ministry of Information and Culture, sharply criticized Pakistani Prime Minister Shehbaz Sharif over his recent claims about Islamic unity in relation to the war in Iran, calling them “shameful.”
On his X account, Ghaffran wrote: “You praised Trump as a hero of the Gaza peace plan, yet today you claim Islamic unity regarding Iran in a war that the same criminal (Trump) and his allies initiated?”
He added that while Afghanistan is governed under an Islamic system, Shehbaz Sharif has shown no compassion even toward the most vulnerable groups—from children to women and drug addicts—and that this cruelty persisted even during the holy month of Ramadan.
Ghaffran described Sharif’s stance as a “grave shame” and a stark example of “historical hypocrisy.”
Latest News
Airstrike on Kabul drug rehabilitation centre sparks legal concerns
Amnesty International’s Deputy Regional Director for Research, Isabelle Lassee, said the scale of casualties suggests the presence of a significant civilian population at the site.
An airstrike on a drug rehabilitation facility in Kabul has drawn sharp criticism from Amnesty International, raising serious questions about compliance with international humanitarian law.
The strike, carried out on 16 March, targeted a site at Camp Phoenix, a former military base that has functioned largely as a rehabilitation centre since 2016. Pakistani officials have claimed the attack was aimed at an ammunition depot allegedly located within the compound.
Responding to those claims, Amnesty International’s Deputy Regional Director for Research, Isabelle Lassee, said the scale of casualties suggests the presence of a significant civilian population at the site.
“While the total number of casualties has yet to be independently verified, it is clear that the attack caused extensive civilian harm, with reports indicating hundreds killed or injured,” she said.
Lassee emphasized that the facility was widely known to house civilians undergoing treatment, and warned that any military action should have taken this into account. “Pakistan’s military should have taken all feasible precautions to avoid harming civilians and civilian infrastructure,” she added.
She further noted that even if a military target had been present within the compound, international law requires that any strike be proportionate, ensuring that civilian harm is not excessive in relation to the anticipated military advantage.
“The scale of destruction raises serious concerns about whether an adequate proportionality assessment was conducted and whether sufficient steps were taken to verify the target and minimize civilian casualties,” Lassee said.
Amnesty International has called on Pakistani authorities to disclose the intelligence behind the strike and to launch an independent, impartial, and transparent investigation into the incident. The organization stressed that findings should be made public to ensure accountability.
The group also urged all parties involved in the conflict to adhere strictly to international humanitarian law and to protect civilian infrastructure, including medical and rehabilitation facilities.
The airstrike formed part of Pakistan’s “Operation Ghazab Lil Haq,” which included strikes in both Kabul and Nangarhar Province. The targeted rehabilitation centre, known as Omid, reportedly had the capacity to accommodate around 2,000 individuals.
Casualty figures remain contested. Islamic Emirate officials claim more than 400 civilians were killed and over 200 injured, though these numbers have not been independently verified. The United Nations has so far confirmed 143 deaths.
The strike comes amid escalating tensions between Afghanistan and Pakistan. According to the United Nations Assistance Mission in Afghanistan, at least 76 civilian casualties had already been recorded since the conflict intensified in February.
Pakistani officials, meanwhile, reported civilian casualties on their side of the border, including four deaths in Bajaur district on 15 March and the killing of a child in North Waziristan earlier in the month, allegedly due to cross-border fire from Afghanistan.
The latest developments underscore growing concerns about civilian safety as hostilities between the two countries continue to intensify.
Latest News
Afghanistan expresses condolences after deadly helicopter crash in Qatar
-
Latest News5 days agoPakistani shelling hits Kunar districts despite ‘pause in hostility’ over Eid
-
Sport4 days agoAfghanistan national buzkashi falls short in Kokpar World Championship semifinals
-
Regional5 days agoPakistan among top nuclear threats to America, US intelligence chief tells senate
-
Sport3 days agoIreland to host Afghanistan for ODI series in August
-
Latest News5 days agoSecurity Sources: Pakistani military shelling in Kunar and Nuristan leaves female doctor dead
-
Latest News3 days agoMojtaba Khamenei calls for improved Afghanistan–Pakistan relations, offers help
-
Latest News2 days agoDeadly violence likely without dialogue between Afghanistan and Pakistan: ICG
-
Sport4 days agoFIFA sanctions Israeli Football Association over discrimination violations
