Wednesday, August 18, 2021

With Foreign Assets Being Seized, The Taliban Government Is Now Facing A Financial Crisis

Afghan people line up outside AZIZI Bank to take out cash as the Bank suffers amid money crises in Kabul, Afghanistan, on August 15, 2021.  

The Guardian: Taliban face financial crisis without access to foreign reserves 

Analysis: As the US freezes Afghan reserves and Germany halts aid, the new rulers may find they are far short of what is required to govern. 

Afghanistan’s new Taliban rulers are likely to face a rapidly developing financial crisis, with foreign currency reserves largely unreachable and western aid donors – who fund the country’s institutions by about 75% – already cutting off or threatening to cut payments. 

While the hardline Islamist group has moved in recent years to become more independent of outside financial supporters including Iran, Pakistan and wealthy donors in the Gulf, its financial flows – amounting to $1.6bn (£1.2bn) last year – are far short of what it will require to govern. 

On Wednesday, Afghanistan’s central bank governor disclosed that the country has $9bn in reserves abroad but not in physical cash inside the country after the Biden administration ordered the freezing of Afghan government reserves held in US bank accounts on Sunday.  

Read more ....  

Update: "Panic" As Afghani Crashes After Central Bank Chief Flees, Says No More Dollars Left (Zero Hedge)  

WNU Editor: Money is not the priority for the Taliban right now. Their focus is on consolidating their power. As for the average Afghan citizen. They are going to be facing hardship even worse than what they are experiencing now.

4 comments:

Anonymous said...

We need to free our brothers and sister in Australia and save them from this out of control tyrannical government over there.. over a few covid cases (likely even false positives, as they still use that fkin pcr test), they lock them down for a year, and fine them heavily.. they are robbing them blind.. they use medical excuses to destroy the middle class and usher in the great reset

They are illegitimate tyrants!
Australians - RISE! DO not let these monsters hurt your children, elderly and economy any longer.

And let the Australian tyranny be a clear demonstration what happens to a population if they give up their weapons.. absolute tyranny!

The taliban did the same over the weekend.. they immediately disarmed the population ..

RESIST THESE MONSTERS

They are incompetent, they do not know what science is.. they must be removed from power and severely punished for putting their own people through this while enriching themselves... and I mean severely

Anonymous said...

Why don't you start your own blog. Surely you could reach more eyeballs than the 8 humans who read these comments.

Anonymous said...

Mullah Omar used to run the finances of Afghanistan from a small wooden box of cash that he kept near his stool. I doubt they're planning to keep the Korean donated women's computing school open, let alone even wondering where it's funding came from in the first place.

Jac said...

Taliban will have more help and they will sell more opium.