Afghan Central Bank Says U.S. Plan for Frozen Funds an 'Injustice'

KABUL (Reuters) – Afghanistan’s central financial institution on Saturday criticised Washington’s plan to make use of half the financial institution’s $7 billion in frozen property on U.S. soil for humanitarian support and put aside the remainder to presumably fulfill lawsuits over the Sept. 11, 2001 assaults.

U.S. administration officers mentioned on Friday they might work to make sure entry to $3.5 billion of the property would profit the Afghan individuals, amid requires the cash for use to handle a deepening financial disaster because the Taliban seized energy final yr.

The opposite half of the funds would stay in the USA, topic to ongoing litigation concentrating on the Taliban, together with by relations of those that died within the Sept. 11 assaults, the officers mentioned.

Da Afghanistan Financial institution (DAB) criticised the choice, saying its property had been invested in the USA in step with worldwide practices, and belonged to the individuals of Afghanistan.

“DAB considers the most recent resolution of USA on blocking FX (international change) reserves and allocating them to irrelevant functions, injustice to the individuals of Afghanistan,” the central financial institution mentioned in an announcement.

Political Cartoons on World Leaders

“(DAB) won’t ever settle for if the FX reserves of Afghanistan is paid beneath the identify of compensation or humanitarian help to others and desires the reversal of the choice and launch of all FX reserves of Afghanistan,” it added.

The central financial institution funds have been frozen because the Taliban took over the nation as international forces withdrew in August.

The frozen funding mixed with sanctions and a drop off in improvement funding have despatched the nation’s economic system into freefall, unleashing a humanitarian disaster.

(Writing by Charlotte Greenfield; Enhancing by Helen Popper)

Copyright 2022 Thomson Reuters.

Leave a Comment