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UN chief urges action to prevent economic collapse in Afghanistan

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UN Secretary General Antonio Guterres on Saturday called on the international community to urgently inject some cash into Afghanistan, saying it would be disastrous if the country’s economy collapsed.

In an interview with Al Jazeera, Guterres said currently “millions and millions of people (are) on the verge of dying because of hunger”.

Should the economy collapse, “it would be a total disaster; it would be lots of people dying and I believe a massive outflow into the neighboring countries with horrible consequences for the stability of those countries, so I think it’s very important to avoid that collapse.

“I’ve been saying that humanitarian aid is essential but at the same time it’s necessary, and of course there are ways to do so even in respect for international law, it’s essential to inject some cash to allow the Afghan economy to breathe and to avoid the kind of collapse that would have devastating consequences,” he said.

Guterres’ statement comes amid a cash flow crisis in Afghanistan. Essentially a dollarized nation under the former government, weekly shipments of US dollars stopped the day the Islamic Emirate took over Kabul – on August 15.

Since then, severe weekly limits have been imposed by banks on cash withdrawals for individuals, foreign reserves have been frozen, and the International Monetary Fund and World Bank also stopped loans.

Guterres said: “It’s our duty to do everything possible to support the Afghan people and to help create the conditions for those concerns that everybody has about terrorism, about human rights, about inclusivity, to materialize.”

He also stated that the “situation is unpredictable” but added the UN is working with the Islamic Emirate to allow for humanitarian aid to be distributed to the people.

He said that is would be a “disaster if terrorist organizations could operate again from Afghanistan.”

Guterres also noted that it was important for the Islamic Emirate to “understand the importance of an inclusive government that takes into account the diversity of the different groups [in the country]” and to respect basic human rights.

Asked about what he thought went wrong in Afghanistan, Guterres said the first problem was the “idea that the Afghan people can be ruled from outside.”

He said the British and the former Soviet Union had both tried to do this in the past, but both had failed.

The Afghan people are “very proud and they have lots of problems among themselves but they have even more problems with the idea that they can be dominated from the outside”, he said.

He also said he felt there had been too much “military action and not enough support to building institutions.”

According to him, the former Afghan leaders were divided – singling out the two past elections that had both been contested.

He said the election system adopted for Afghanistan “that was a unitary system was not the most adequate for a country that is so decentralized”.

“The truth is that there was a huge dysfunctionality in the government and we have seen it in relations of the president; and the international community looked at it without any capacity to really allow things to improve and so all these fragilities accumulated and in the end what we had, and we had it in a very chaotic way that nobody was forecasting.

“I don’t know what’s going to happen; as I said the situation is unpredictable but i think that there is at least a part of the leadership of the Taliban (Islamic Emirate) that would like to have Afghanistan as a country recognized by the international community and would be ready to pay a price for that,” he said.

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Khalilzad calls for end to Pakistan’s ‘double game’, urges new chapter with Afghanistan

“Playing this double game must stop,” Khalilzad wrote, adding that it was time for Afghanistan and Pakistan to “turn a new page.”

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Former U.S. Special Representative for Afghanistan Reconciliation Zalmay Khalilzad has called for an end to what he described as Pakistan’s “double game” over its alleged support for militant groups operating in Afghanistan, urging the two neighbouring countries to open a new chapter in their relations.

In a post on X, Khalilzad said he believed the past 30 years had demonstrated a significant gap between Pakistan’s public statements and its actions regarding armed groups involved in fighting in Afghanistan.

Referring to the period of the U.S. military presence in Afghanistan, Khalilzad alleged that Pakistan provided sanctuary and support to militants fighting U.S. and Afghan forces while publicly denying doing so.

“Playing this double game must stop,” Khalilzad wrote, adding that it was time for Afghanistan and Pakistan to “turn a new page.”

He called for greater economic cooperation and development between the two countries and said they should agree not to allow their respective territories to be used to threaten each other’s security.

Khalilzad’s comments come amid renewed tensions between Kabul and Islamabad over cross-border militancy and security allegations.

Pakistan has repeatedly accused the Islamic Emirate of Afghanistan of allowing Tehreek-e-Taliban Pakistan (TTP) and other militant groups to operate from Afghan territory. Kabul has denied providing sanctuary to groups planning attacks against Pakistan.

The dispute has increasingly spilled into military confrontation. Pakistan carried out airstrikes in Afghanistan on September 21, saying it had targeted militant positions, while Afghan officials and the United Nations said three civilians, including a woman and a girl, were killed. Pakistan said the strikes killed 28 militants.

Islamabad has also continued to accuse Kabul of failing to prevent attacks originating from Afghan territory. Pakistani authorities have said their military actions are carried out in response to security threats and in self-defence.

Pakistan, meanwhile, has rejected recent Afghan allegations that its security forces or intelligence agencies were involved in violence in Afghanistan’s Nuristan province, calling the claims baseless.

Against this backdrop, Khalilzad said improved relations should focus on economic cooperation, development and mutual security guarantees, with neither country allowing its territory to be used against the other.

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Afghanistan central bank and ACGF sign cooperation agreement

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Da Afghanistan Bank (DAB) and the Afghan Credit Guarantee Foundation (ACGF) have signed a cooperationmemorandum of understanding (MoU) aimed at strengthening the financial sector and expanding access to financial resources for small, medium and large businesses.

The agreement was signed during a ceremony at the DAB Supreme Council Hall, where DAB First Deputy Governor Sediqullah Khalid said such agreements create opportunities to provide suitable and diverse Islamic financial services to citizens and expand access to financing for small and medium-sized enterprises.

Khalid said that under the agreement, banks and financial institutions will initially receive technical and professional support. He added that five banks and one microfinance institution will receive grants worth around $1 million in the first phase to support financing for small and medium-sized businesses.

He said other banks and financial institutions that meet the required criteria would benefit from the grants and related facilities in later phases.

Khalid also said that attention would be given to facilitating the creation and financing of small businesses for Afghans returning from other countries.

Under the agreement, the two sides will cooperate on strengthening the financial sector, expanding access to financial resources for businesses, promoting Islamic financial services and building the capacity of financial institutions.

Technical and professional assistance, training programs and capacity-building opportunities will also be provided to banking and non-banking financial institutions.

Roger Thomas Piltzer, chairman of the ACGF Board of Trustees, also welcomed the agreement and stressed the importance of continuing and expanding cooperation with Da Afghanistan Bank.

The agreement aims to establish a framework for cooperation between the two sides to strengthen Afghanistan’s financial sector, expand access to Islamic financial services and provide financial resources for small and medium-sized businesses.

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Tajikistan reaffirms support for peace and stability in Afghanistan

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Tajikistan has reaffirmed its support for the Afghan people, stressing that peace, stability and economic opportunities in Afghanistan are closely linked to security and sustainable development in the region.

Speaking at the 81st session of the United Nations General Assembly in New York on Saturday, Tajik Foreign Minister Sirodjiddin Muhriddin said lasting security and sustainable development in the region are closely connected to the situation in Afghanistan.

“Afghanistan needs peace, stability and economic opportunity,” Muhriddin said.

He added that Tajikistan would continue to support the Afghan people and constructive regional cooperation aimed at achieving a peaceful and stable Afghanistan.

“When Tajikistan speaks about peace, we also speak from experience,” Muhriddin said.

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