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In the first 100 days of the Islamic Emirate's rule, Afghanistan faces a significant financial crisis due to freezing foreign exchange reserves and global aid and banking relations.
President Jubaiden's administration froze more than $ 9 billion in Afghanistan's monetary reserves in US banks, posing severe challenges to the country's banking system. According to the World Bank, absolute unemployment in Afghanistan has reached more than forty-one percent during this period.
Thousands of citizens lined up behind commercial banks due to the unclear political situation in the country, which further left the banks short of capital. At the time, a spokesman for the International Monetary Fund announced that relations between global lenders and the delivery of money to Afghanistan had been suspended.
"The relationship of global lenders to Afghanistan and the delivery of money to Afghanistan by the International Monetary Fund has been suspended after the capture of Kabul by the Islamic Emirate, the lack of cash in the banks, the economy," said Jerry Weiss, a spokesman for the International Monetary Fund. "It will weaken Afghanistan."
The United States has blocked access to the Islamic Emirate's billions of dollars in Afghanistan. According to the World Monetary Fund, the Afghan government had about $ 9.4 billion in reserves as of April this year. The International Monetary Fund (IMF) has also suspended its $ 370 million loan program to fight the Coronavirus.
Meanwhile, the World Bank stopped paying for development projects in the country and almost closed the country's financial transactions with all major financial institutions. "The small economic situation in Afghanistan is very critical with the cessation of global aid, especially the trade and financial relations problems," said Hans Timer, a senior economist at the World Bank.
In the first 100 days of the Islamic Emirate's rule, the UN World Food Program has announced that more than 22 million Afghans are starving to death. By the end of this year, 99 percent of Afghanistan's population will be below the poverty line.