Afghanistan: Money changers flag increase in smuggling of US Doller
Oct 10, 2021
Kabul [Afghanistan] October 10 : There has been an increase in US dollars being smuggled out of Afghanistan to some neighbouring countries mainly Pakistan, which may worsen the country's already fragile economy, according to a new report which cites currency convertors in the Taliban-ruled country.
A number of money changers in Kandahar said that "millions of Pakistani rupees" are brought in to Kandahar from Pakistan and are exchanged to US dollars and are taken back to the neighbouring country, Tolo News reported.
"The money changers said the demand for the US dollar is increasing in the market and that most of their customers buy the US currency by selling Pakistani rupees," the Tolo News report said.
The development came amidst an unprecedented fall of Afghanistan's currency against the USD over the last two months, after the fall of the democratically elected government.
Before the collapse of the former government, Afghanistan's Central Bank used to inject US dollars into the local markets to ensure the stability of Afghan currency. "Recently, amidst a pause in international community's support to Afghanistan, the value of afghani is descending against the dollar," Tolo News reported.
Meanwhile, the Taliban takeover has brought an unprecedented crisis in Afghanistan with the economy plummeting day by day and daily wagers not getting enough work to support their family, pushing them towards hunger.
A few days back, UN agencies have also warned that "a humanitarian catastrophe looms" in Afghanistan and urged donor governments to "dig deep" to fund an emergency flash appeal.
The US and EU have also stated that they will continue providing humanitarian aid to Afghanistan.
