The value of the Afghan (the Afghan currency) has decreased significantly against the US dollar in recent days, worrying local markets and raising commodity prices in an unprecedented manner.
With the low value of the Afghan, as well as indications of economic deterioration, the additional burdens on citizens increases in light of the difficult political and economic conditions in the country.
Sharp fluctuations
The snakes in front of the American currency improved to 78 Afghans and 55 Paula (the Sweet Unit of the Afghani) for each dollar, last Monday, from 81 Afghans the day before, and despite the new government’s attempts to contain the crisis by pumping money, the economic situation remains greatly unstable.
In this context, the Afghan Central Bank announced that, last Wednesday, 27 million dollars in the exchange market, indicating in a statement that this step aims to support the Afghan currency and pump cash in the markets in all Afghanistan.
Despite these measures, doubts about the effectiveness of this solution remain, especially in the long run, and many economic experts believe that these attempts may be temporary and do not provide sustainable stability.
Daily fluctuations
Aerobes in Saray Shahzada, one of the most famous exchange markets in the capital, said in a comment to Al -Jazeera Net, that the price of the Afghan currency against the dollar is constantly changing, which complicates the plans of families and merchants in light of high fluctuations.
“The price of the dollar changes an hour by an hour. For example, last week, we witnessed a change of 10 Afghan people in the price of the dollar, which added more difficulty to people,” said the last week, and the last government demanded to cooperate with the community. International and United Nations to install the currency price.
Attempts to control
“The stopping of foreign aid is one of the factors that led to a decrease in the value of the Afghan currency against the dollar. This decrease was not surprising, but rather an inevitable result of the accumulation of many economic crises that we are currently going through. Pumping the dollar temporarily, as happens Now, it will not be a sustainable solution.
Hafezi added, in a comment to Al -Jazeera Net, “The dollar is temporarily pumping by the Afghan Central Bank will not be sufficient to solve the problem in the long run, so the authorities cannot continue to pump tens of millions of dollars per week in the market indefinitely. The radical solution lies in Building a sustainable Afghan economy dependent on local production, not on external aid or on the pumping of the dollar. “
He continued, “What we need now is a real economic stability, and this will only be achieved by stimulating local production, supporting small and medium companies, and strengthening the internal economic sectors. All of this needs long -term government policies aimed at achieving economic self -sufficiency.”
“In light of these conditions, the government must focus on the development of the internal economy. The policy of relying on foreign aid has ended after international support is stopped, and we need to enhance the economy from within away from external interventions. The current situation also shows that continuity In pumping the dollar cannot be a long -term solution. “
Foreign aid crisis
Among the main reasons for this deterioration is the suspension of external aid that was largely supporting the Afghan economy before the Taliban was restored control of the country, and this economic crisis increased after the United States announced the suspension of aid to several countries, including Afghanistan, after Donald Trump’s victory in the presidential elections.
In this context, the activities of 45 institutions that were under the support of the United States were suspended in 28 Afghan states, as these institutions were working in the fields of health and humanitarian aid, and although the names of these institutions were not revealed yet, the suspension or stopping of any material support in Afghanistan increases the complexity of the situation Economic in the country.
In the early days of his rule, US President Donald Trump stated that “American aid arrives in the Taliban, which should not happen,” noting the threat to cut this aid from Afghanistan.
The statement shows the direct impact of stopping this aid on the Afghan economy, as this leads to an increase in the financial deficit and the deterioration of the value of the currency, which may lead to the exacerbation of the economic crisis that the country is currently experiencing.
Economists link this decline in the value of the Afghan currency and the decrease in international financial aid, which put the Afghan government led by the Taliban in a difficult position to confront the current economic challenges.
Citizens testimonies
In light of this economic crisis, ordinary citizens suffer from the direct effects of high prices as a result of the deterioration of the value of the Afghan currency, the government employee in Kabul Ali Hassan says, “I am a government employee and I rely on my monthly salary to support my family. With the decline in the value of the currency, it has become difficult to meet our basic needs. Food prices have increased significantly, especially rice and oil.
“The salary that I hold now is not sufficient to cover the daily living costs. Even previous estimates of spending have become insufficient in light of this continuous increase in prices. I think the government needs decisive measures to install the Afghan currency.”
As for Mahmoud, he expresses his suffering, saying, “I am a worker in the municipality and I receive a daily fee. With all these high prices, our lives are more difficult. I cannot buy what I need for my children, especially with the high food and transportation costs. The current situation is unbearable, and we live in a state From the constant concern about the future. “
“I think the government is not doing enough to support workers like us. Prices rise daily and we do not see any real move from the authorities to address this crisis. We hope that there will be a rapid move to alleviate the weight of these conditions.”
The repercussions of the currency decline
The value of the Afghani against the dollar caused the prices of commercial commodities to rise significantly, as food and basic commodities were especially affected.
As a result of these fluctuations, citizens suffer from a high cost of living, which threatens social stability in light of the difficult circumstances in the country.
Used future
In light of these challenges, and with the lack of foreign monetary reserves, a question remains about the extent of the caretaker government’s ability to restore financial and economic stability in the country in the near future, while citizens continue to suffer from the deterioration of economic conditions, but the hope remains in finding sustainable solutions away from temporary interventions In the exchange market.
