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U.N. aims to launch new Afghanistan cash route in February

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The United Nations aims to kick start this month a system to swap millions of aid dollars for Afghan currency in a plan to stem humanitarian and economic crises and bypass blacklisted Taliban leaders, according to an internal U.N. note seen by Reuters.

Since the Islamic Emirate of Afghanistan (IEA) takeover in August, foreign financial assistance has stopped and international banks are wary of testing U.N. and U.S. sanctions on the IEA, leaving the United Nations and aid groups struggling to obtain cash even as they continue to receive humanitarian donations.

The U.N. explanatory note, written last month, outlines an “urgently needed” Humanitarian Exchange Facility (HEF). The United Nations has warned that more than half of Afghanistan’s 39 million people are suffering extreme hunger and the economy, education and social services are collapsing.

“The overall objective is to have the HEF up and running in February,” the note said. “Prior to the full establishment of the facility, we seek to facilitate several trial swaps, to demonstrate exactly how the mechanism will work.”

U.N. and humanitarian officials warn that the facility can be only a temporary measure until Afghanistan’s central bank begins operating independently and some $9 billion in foreign reserves frozen abroad are released.

But when that could happen is uncertain. The reserves held by the United States are tied up in legal action and Western governments are reluctant to release funds unless they see the IEA show greater respect for human rights, especially those of women and girls.

The HEF would allow the United Nations – which is seeking $4.4 billion for humanitarian assistance this year – and aid groups access to large amounts of the national currency, the afghani, held in the country by private businesses.

In exchange, the United Nations would use aid dollars – potentially tens of millions – to pay the businesses’ foreign creditors, thereby bolstering the flagging private sector and critical imports.

“The facility’s flow of funds would not require the movement of funds across the Afghan border,” the U.N. note said.

While the money bypasses the IEA, the note says the HEF will need the approval of the IEA-run central bank for “the flow of funds and the exchange rate used and the withdrawal of AFN cash deposited into AIB (Afghanistan International Bank) without any restriction.”

A spokesman for the IEA care-taker government confirmed that officials in Afghanistan were aware of the proposal for the HEF, but did not know the details or the procedure.

“We welcome any kind of humanitarian actions for the people of Afghanistan, but all actions should be taken according to Afghanistan’s laws and national interests,” Bilal Karimi told Reuters on Friday in response to a question on the HEF.

The United Nations does not comment on leaked documents, U.N. spokesman Stephane Dujarric said of the note. U.N. Secretary-General Antonio Guterres has said Afghanistan is “hanging by a thread” and long pushed for international action to combat the economic crisis hampering aid efforts.

Afghanistan’s economy has continued to deteriorate, with inflation for basic household goods reaching nearly 42% in January, compared to the year-earlier period, the World Bank said on Wednesday. Wages and demand for labor continued to decline, as did imports, which were down 66% compared to a year earlier, it said.

Aid groups and U.N. officials have been advocating for a cash swap mechanism, but the U.N. note seen by Reuters provides new details on how it will work.

Graeme Smith, a senior consultant for the International Crisis Group think-tank, told the U.S. Senate Foreign Relations Committee on Wednesday that an exchange facility is needed quickly, but only as a stopgap measure.

“It is not sufficient,” he said. “Nobody should be under any illusions that this substitutes for the normal functioning of a central bank.”

Complicating the response, IEA leaders have banned the use of foreign currency in a country where U.S. dollars were common. The United Nations has flown in shipments of $100 bills, but the central bank has not converted them, leaving the world body sitting on about $135 million in cash that it cannot use, a U.N. official said last week.

Those funds are held in Kabul in the vaults of AIB, the official said, the private bank that would play a role in the new cash swap system.

The security of the cash flights and limits on how much can be delivered are key reasons for starting the new exchange facility, the note said.

World Bank and U.N. officials have been working to finalize the HEF, including completing a risk assessment, seeking a U.S. Treasury license to protect international banks from sanctions, and hiring a private company to vet participants and guard against money-laundering, the note said.

David Miliband, head of the International Rescue Committee, said the consequences of Afghanistan’s economic crisis could be devastating, and he called for a change in U.S. and international policy toward the country.

He told the Senate committee on Wednesday: “Current policy will indeed mean that a starvation crisis kills … more Afghans than the past 20 years of war.”

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FAO warns water shortages and heat put Afghanistan’s agriculture under pressure

FAO assessed current conditions and prospects using climate forecasts, remote-sensing data and consultations with farming communities across all 34 provinces.

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The Food and Agriculture Organization of the United Nations (FAO) has warned that water shortages and above-average temperatures are placing increasing pressure on summer crops and grazing across Afghanistan.

In its August 2026 outlook for Afghanistan’s 2026/27 agricultural season, FAO assessed current conditions and prospects using climate forecasts, remote-sensing data and consultations with farming communities across all 34 provinces.

The agency said persistent water shortages, combined with high temperatures, are affecting agricultural conditions during the summer season and increasing pressure on crops and livestock.

FAO also warned that persistently high fertilizer prices could limit farmers’ ability to invest in the upcoming winter wheat season, potentially affecting production prospects.

Looking ahead, the report says a strengthening El Niño and the possible development of a positive Indian Ocean Dipole could bring above-average precipitation during winter and spring.

Such conditions could improve water availability and boost prospects for agricultural production, but FAO cautioned that heavier rainfall could also increase the risk of floods, landslides, crop damage and livestock losses.

The agency said the latest outlook highlights the need for continued monitoring, anticipatory action and timely, practical climate and agricultural advisories to help farmers and livestock owners prepare for changing conditions.

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Hana raises concerns over Afghan women and children amid Iran’s expulsion policy

It said the risks are particularly serious for children born in Iran or those who have spent much of their lives there.

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The Hana Human Rights Organization has raised serious concerns over the situation of Afghan women and children in Iran, saying the country’s plan to regulate and expel undocumented Afghan nationals remains in effect.

According to Hana, Iran’s Ministry of Interior has confirmed that the “Plan for the Regulation and Expulsion of Unauthorized Afghan Nationals” has not been suspended.

The organization said the policy is continuing amid the consequences of armed conflict and an increasingly securitized environment in Iran, which it said has heightened the vulnerability of Afghan migrants and asylum seekers.

Hana said it has previously documented cases involving the arrest and mistreatment of Afghan nationals, deportations, family separation and difficulties obtaining civil documentation and accessing essential services.

The organization warned that continued implementation of the expulsion policy could worsen these problems.

Hana expressed particular concern for Afghan children under 18, stressing that children’s rights are independent of their parents’ migration status.

It said irregular residence should not, by itself, justify a child’s detention, separation from family or removal without an individualized assessment. Any decision affecting a child, it added, should prioritize the child’s best interests, preserve family unity and provide additional safeguards for unaccompanied and separated children.

The organization warned that large-scale expulsions without clear procedures to identify and protect children at risk could result in family separation, disruption to education, lack of legal protection, difficulties establishing legal identity, exploitation and return to unsafe conditions.

It said the risks are particularly serious for children born in Iran or those who have spent much of their lives there.

Hana also highlighted gender-specific risks facing Afghan women and girls. It warned that deportation to Afghanistan without assessing risks linked to gender, previous political or social activities, family circumstances and access to support networks could expose them to serious human rights violations.

The organization said being classified as an “unauthorized foreign national” should not replace an individual assessment of a person’s protection needs and the risks they may face upon return.

Hana stressed that while states have the authority to regulate the entry and residence of foreign nationals, migration enforcement must comply with international human rights principles, including non-refoulement, the prohibition of collective expulsion, access to individualized procedures and respect for family unity.

It called for heightened protection for women and children, warning that continuing the expulsion plan without effective legal and protection safeguards could lead to further human rights violations against Afghan migrants and asylum seekers in Iran.

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Water dispute in Baghlan leaves four dead

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Security officials in Afghanistan’s Baghlan province say an armed clash between members of two families over a personal dispute and access to water for agriculture in Tala wa Barfak district has left four people dead and one injured.

Ismail Ayubi, police chief of Tala wa Barfak district, said the incident took place in the Dewalk area of Barfak, a remote part of the district.

He said the main cause of the clash was a dispute between the two families over the use of agricultural water.

Baghlan police said that, due to the lack of mobile network coverage in the area, a local resident traveled to an area with network access to report the incident to security forces.

Following the report, security forces took the necessary steps to respond to the incident. Officials said those involved in the clash fled the area after the incident, and no one has so far been arrested.

The district police chief said efforts are ongoing to identify and arrest those responsible. Security forces are also working to maintain public safety and prevent further insecurity in the district.

An investigation into the circumstances of the clash and the identification of those involved is ongoing.

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