UN welcomes US willingness to find ways to infuse liquidity into Afghanistan's economy

The United Nations on Monday welcomed US’ willingness to find ways to allocate humanitarian aid to Afghanistan and infuse its economy with liquidity in a bid to alleviate the crisis in the war-torn country. While speaking at a press briefing, US State Department spokesperson Ned Price had announced that the US is working with various UN bodies to find creative ways to deliver aid in Afghanistan and ensure liquidity in the country’s economy. 

In response, the UN spokesperson Farhan Haq told Sputnik, "We welcome the willingness of the US to find ways to ensure liquidity in Afghanistan's economy.”

Afghanistan's economy has been in free fall since the Taliban seized command of Kabul in mid-August. The World Bank and the International Monetary Fund have suspended financial aid, which previously accounted for nearly 75% of Afghanistan’s public expenditure. Additionally, most of the $9 billion in assets of the Afghan central bank is also held in the US, and have been frozen. 

US Lawmakers, Taliban urge Biden to unfreeze Afghan reserves 

Now, amid the looming economic crisis and with the US refusing to unfreeze the Afghan assets, US lawmakers have separately urged the Biden administration to release the war-torn country’s central bank reserves in the amount of $9.4 billion. According to Sputnik, the Democratic US House members in a letter to US President Joe Biden said that they stand with American allies and humanitarian experts in urging the administration to avoid harsh economic measures that will directly harm Afghan families and children. 

The US lawmakers warned that the war-ravaged nation’s dwindling economy and humanitarian collapse threatens to trigger a new refugee crisis throughout the region. They said that the US’ decision to freeze Afghanistan’s central bank reserves is contributing to high inflation and the closing of commercial banks and vital private businesses. The Democrats added that the US freeze of reserves also led to more deaths in 2022 than were lost in the last 20 years of the war in the country. Meanwhile, addressing the OIC briefing over the weekend, Afghan Taliban’s acting foreign minister Amir Khan Motaqi said the US must unfreeze billions of dollars of Afghanistan as the country desperately needs cash. 

(Image: AP)