A senior board member of Afghanistan's central bank is urging the U.S. Treasury and the International Monetary Fund to take steps to provide the Taliban-led government limited access to the country's reserves or risk economic disaster.
The Taliban took over Afghanistan with astonishing speed, but it appears unlikely that the militants will get quick access to most of the roughly $10 billion in assets held by Da Afghanistan Bank (DAB), which are mostly outside of the country.
U.S. President Joe Biden's administration has said any central bank assets the Afghan government have in the United States will not be made available to the Taliban, and the IMF has said the country will not have access to the lender's resources.
Shah Mehrabi, an economics professor at Montgomery College in Maryland and a member of the bank's board since 2002, told Reuters in a telephone interview on Wednesday that Afghanistan faces an "inevitable economic and humanitarian crisis" if its international reserves remain frozen.
Mehrabi stressed he doesn't speak for the Taliban but is making this push in his capacity as a sitting board member. He said he plans to meet with U.S. lawmakers this week, and hopes to talk with U.S. Treasury officials soon as well.
"If the international community wants to prevent an economic collapse, one way would be to allow Afghanistan to gain limited and monitored access to its reserves," he said.
"Having no access will choke off the Afghan economy, and directly hurt the Afghan people, with families pushed further into poverty."
Mehrabi is proposing that the United States allow the new government in Kabul a limited amount of access each month, perhaps in the range of $100 million-$125 million to start with, that would be monitored by an independent auditor.
"The Biden administration should negotiate with the Taliban over the money in the same way they negotiated over the evacuation," he said.
If the assets remain entirely frozen, then inflation will continue to soar, Afghans will not be able to afford basic necessities, and the central bank will lose its main tools for conducting monetary policy, he said.
The Taliban can survive through customs duties, increasing opium production, or selling off captured American military gear, but every day Afghans will suffer and be solely reliant on international aid if the country doesn’t have access to currency, Mehrabi added.
After nearly 20 years of American intervention, the Afghan economy is heavily dollarized, and depends on imports that largely must be purchased with foreign currency, he said.
With overseas reserves off-limits, Da Afghanistan Bank may be undermined after having cultivated a non-political, technocratic institution that so far has been allowed to continue its work under the Taliban, Mehrabi said.
"Their work there is not based on who is in power," he said, noting that he has not been personally in touch with Taliban representatives, but is in daily contact with colleagues running operations there now.
Ajmal Ahmady, who led the central bank until the capture of Kabul, has said about $7 billion of DAB's assets was held as a mixture of cash, gold, bonds and other investments at the U.S. Federal Reserve.
Most of the rest is in other international accounts and at the Bank for International Settlements, a bank for central banks based in Switzerland, and not physically in DAB vaults, he said - leaving about 0.2% or less of the total accessible to the Taliban. (Reuters)
Two Afghans with links to U.S. forces who ended up in Serbia after fleeting the Taliban advance are watching in dismay as the Islamist militants take over back home, saying the group cannot be trusted and they fear for relatives left behind.
Ahmadmir and Mohaed left about three months ago for their own security because of their past work for U.S. troops, making separate journeys across Iran and Turkey and ending up in a refugee camp in Serbia, where they are stranded.
Speaking to Reuters at the Obrenovac camp, 30 km (18 miles) west of Serbia's capital Belgrade, Mohaed, 45, said his wife, two children, brother, sister and parents remained in Kabul.
"Me and my brother used to work for the U.S. army, they (the family) are not safe, because we cannot trust the Taliban. They are in hiding," he said, speaking on condition his last name not be used due to the sensitivity of the subject.
A former handyman for U.S. forces, Mohaed said the decision by U.S. President Joe Biden to order the American military to pull out was wrong.
"Our government needed more help, and they just left," he said.
In 2013 Mohaed applied for a special visa program to move to the United States, without success.
He left Afghanistan months before the massive but chaotic airlift by the United States and its allies that evacuated more than 123,000 people from Kabul over the past two weeks.
Despite the airlift, many of those who helped Western nations during the war were left behind.
RIGHTS
Ahmadmir, a former interpreter for U.S. special forces, said the Taliban were offering false assurances of safety to those who worked for the former Afghan government, when in reality they planned to take action against them.
“They (Taliban) are telling them – no problem, come to your jobs, continue living normally, but no – that’s not the case. Things are going in a different way. Yeah... I’m so worried about it,” Ahmadmir said. "They are pretending."
Ahmadmir said his father, mother and two married sisters remained in Kabul. "You are asking me - are you scared that something could happen to your family; I say, yes, if the government is in the hands of the Taliban."
The Taliban has sought to assure Afghans it will respect people's rights, including women who it barred from studying and working during its 1996-2001 rule when it enforced its harsh interpretion of Islamic law. Those proclamations have been met with doubt by many.
Ahmadmir called a relative in Kabul and allowed a visiting team from Reuters to listen in.
"There is silence in Kabul, the bazaar is closed, the residents are not visible, everyone has disappeared somewhere ..." the relative told Ahmadmir, according to a translation of the Pashto language by Reuters.
Serbia was a focal point for migrants in 2015, when more than a million people fleeing wars and poverty in the Middle East and Asia made it to the European Union.
According to Serbian authorities, there are around 4,500 migrants in government operated camps across the country, 1,200 of them Afghans. Hundreds of other migrants are scattered in fields and forests near Serbia's borders with Bosnia and EU members Croatia and Hungary, all countries they want to enter. (Reuters)
The European Union must take action to be better prepared for military evacuations of its citizens in situations such as occurred in Afghanistan in recent weeks, EU Council President Charles Michel said on Wednesday.
"In my view, we do not need another such geopolitical event to grasp that the EU must strive for greater decision-making autonomy and greater capacity for action in the world," he told the Bled Strategic Forum in Slovenia.
Western nations scrambling to get their citizens out of Kabul after the Taliban takeover were dependent on the U.S. military to keep the airport running during airlifts. (Reuters)
Australia will receive 500,000 doses of Pfizer's (PFE.N) COVID-19 vaccine from Singapore this week, Prime Minister Scott Morrison said on Tuesday, after Canberra agreed to a swap deal in a bid to curtail surging coronavirus infections.
The agreement, which will see Australia return the same amount of Pfizer vaccine doses to Singapore in December, will allow Canberra to accelerate its vaccination program as daily cases near record levels for the country.
"That means there are 500,000 doses extra that will happen in September that otherwise would have had to wait for several months from now, accelerating our vaccination program at this critical time as we walk towards those 70% and 80% targets," Morrison told reporters in Canberra.
While Australia had managed to successfully contain the coronavirus with a system of strict lockdowns and quarantine, a slow vaccination rollout has made the country vulnerable to the highly infectious Delta variant.
With just under 28% of Australia's population fully vaccinated, compared with 80% in Singapore, several states and territories have had to implement strict lockdowns as cases soared, hitting businesses and the domestic economy.
Capital city Canberra on Tuesday extended its hard lockdown by a further two weeks, and Victoria, the country's second-most populous state, is expected to soon follow suit.
Canberra has been in lockdown for three weeks after a spate of cases believed to have spread from New South Wales, the epicenter of Australia's COVID-19 outbreak.
"We are bending the curve down and are getting on top of the outbreak. However, it is a slow process and it will take more time," Australian Capital Territory Chief Minister Andrew Barr told reporters in Canberra.
On Tuesday, Canberra reported 13 new cases in the past 24 hours. New South Wales reported 1,164 new infections, down slightly from a record 1,290 cases the day prior.
Victoria, which has been in lockdown for five weeks, on Tuesday reported 76 new locally acquired coronavirus cases in the past 24 hours, up marginally from 73 cases reported the previous day.
State Premier Dan Andrews said too many people remain unvaccinated to significantly ease restrictions, but that Victoria would outline a plan on Wednesday to reduce curbs as vaccination levels rise.
Australia has recorded nearly 54,000 COVID-19 cases and 1,006 deaths since the start of the pandemic, still lower than the caseload and death toll in most comparable nations. (Reuters)
Germany estimates there are still between 10,000 and 40,000 local staff working for development organizations in Afghanistan who have a right to be evacuated to Germany if they feel they are endangered, Chancellor Angela Merkel said on Tuesday.
Speaking at a Berlin news conference with her Austrian counterpart, Merkel said most of those working for the German armed forces and police were already outside Afghanistan, but that, since development aid to Afghanistan had not been stopped, many staff in that field remained in the country.
"For us, the focus at the moment is local staff and that's not 300 people, that's probably more like 10-40,000 people, and we will have to see how many of them want to leave the country and how many not," she said.
"As we've seen, nobody takes the decision to leave their home lightly." (Reuters)
A spokesman for British Prime Minister Boris Johnson said on Tuesday it is too early to decide if, and how, the government will work with the Taliban on tackling the Islamic State in Afghanistan.
The spokesman said this will partly depend on whether Taliban upholds pledges on issues such as respecting human rights.
"At this stage it is too early to dictate if and how we would work with the Taliban going forward," the spokesman said. "A lot will depend on their actions from now. As we have said throughout, we intend to put pressure on them to uphold these standards and claims." (Reuters)
Around 900,000 doses of BioNTech's COVID-19 vaccine are expected to arrive in Taiwan soon, the health minister said on Tuesday, the first delivery of a highly politicised, much-anticipated order whose tortured progress has transfixed the island.
Taiwan has blamed China, which claims the island as its own territory, for nixing an order from the German firm earlier this year - charges Beijing has angrily denied.
Taiwan's government subsequently allowed major Apple Inc (AAPL.O) supplier Foxconn - formally Hon Hai Precision Industry Co Ltd (2317.TW) - as well as its high profile billionaire founder Terry Gou, along with Taiwan Semiconductor Manufacturing Co Ltd (2330.TW), to negotiate on its behalf for the shot.
A $350 million deal for 10 million shots was inked last month, which will be donated to the government for distribution.
Health Minister Chen Shih-chung, asked whether the first of BioNTech SE's (22UAy.DE) vaccines would arrive on Wednesday, told reporters he was not able to give an exact timetable, "but the time mentioned is very close".
"The number is around 900,000 doses," he added.
BioNTech, which jointly developed the vaccine with Pfizer Inc (PFE.N), declined to comment.
Chen said that the arrival of the vaccines had "great meaning" for Taiwan, and he would definitely go to the airport to receive them.
"I'll only go when the aircraft arrives," he said.
Taiwan is getting the shots earlier than expected as a delay in regulatory approval of the shot for use in mainland China made a surplus available for the island. The vaccine is approved for use in Chinese-run Hong Kong and Macau.
While a relatively small domestic coronavirus outbreak is well under control in Taiwan, only around 5% of its 23.5 million people are fully vaccinated, though the government has millions of vaccines on order.
More than 10 million vaccine doses have arrived in Taiwan to date, split between Moderna Inc (MRNA.O) and AstraZeneca Plc (AZN.L), while local developer Medigen Vaccine Biologics Corp's (6547.TWO) shots have also started to be administered. (Reuters)
Britain coordinated closely with the United States and did not push to keep a gate open at Kabul airport where a suicide bomber killed 13 U.S. troops and scores of Afghan civilians, British Foreign Secretary Dominic Raab said on Tuesday.
A Politico report on Monday said American forces decided to keep the Abbey Gate open longer than they wanted to allow Britain to continue evacuating personnel.
"We got our civilian staff out of the processing center by Abbey Gate, but it's just not true to suggest that, other than securing our civilian staff inside the airport, that we were pushing to leave the gate open," Raab told Sky News.
He said Britain had taken mitigating action, including warning people not to come to the airport.
"We also shifted the civilian team that we had in the Baron Hotel to the airport, because (being) a stone's throw away from where the terrorist attack took place, it clearly wasn't safe, but none of that would have required or necessitated Abbey Gate to be left open," he told BBC News.
Raab defended his response to the Taliban taking control of Afghanistan, dismissing reports he failed to do enough to prepare.
Raab, who was on holiday as the Taliban swept through Afghanistan, did not call the Afghan or Pakistani foreign ministers in the six months before the crisis, the Sunday Times reported.
"Politics is a rough game," he said. "Anyone taking out time during a crisis to give a totally inaccurate, skewed set of reporting, I am afraid lacks any credibility and is probably involved in buck-passing themselves."
He said Britain had secured safe passage for 17,000 people, including around 5,000 British nationals since April, with the numbers remaining in Afghanistan in the "low hundreds". (Reuters)
Germany will wait for the Taliban to install a new government to see if the Islamists will honour their pledge to allow civilians to leave Afghanistan on flights from Kabul airport, Foreign Minister Heiko Maas said on Tuesday.
"The Taliban have promised, but in the coming days and weeks we will find out whether we can count on that," Maas said during a news conference in Islamabad with his Pakistani counterpart Shah Mehmood Qureshi.
"The Taliban want to install a new government, and this will give us an indication whether our request that it be inclusive is met," he added. (Reuters)
Thai lawmakers began a censure debate against Prime Minister Prayuth Chan-ocha on Tuesday, as opponents threatened to intensify street protests fueled by frustration at his government's handling of a COVID-19 crisis.
The political opposition accuses the former army chief and five of his cabinet ministers, including deputy prime minister and health minister Anutin Charnvirakul, of corruption, economic mismanagement, and of bungling the coronavirus response.
Prayuth has weathered two previous censure motions and is expected to survive a no-confidence vote scheduled for Saturday, owing to his coalition's clear parliamentary majority.
But the motion is unlikely to appease the youth-led anti-government groups that sought Prayuth's removal last year and have returned with renewed support from Thais angered by lockdowns, record COVID-19 deaths, and a haphazard vaccine rollout.
Demonstrators have threatened nationwide protests while the opposition grills Prayuth in parliament.
"Every seven minutes a Thai person died because of the blundered management of the COVID-19 situation," opposition leader Sompong Amornwiwat of the Pheu Thai Party said in opening the debate.
"There are economic losses of 8 billion baht ($247.60 million) per day from a lack of management and lockdown measures that have failed."
Prayuth told parliament the government was always working for the public interest.
"For those who suffered, I have introduced assisting measures," he said.
"The government has increased domestic spending, investment, and built healthcare. For you to tell me that I have nothing to show for my performance I'd say look again."
Staunch royalist Prayuth took power in a 2014 military coup and remained prime minister after a 2019 election, making him the longest-serving Thai leader since the end of the Cold War.
The protests against him, which are outlawed under coronavirus restrictions, have gathered steam in recent weeks, despite frequent, at times violent clashes with police who have responded with tear gas, rubber bullets, and water cannon. (Reuters)