KABUL, Afghanistan — Amidst unprecedented depreciation of the afghani, money exchangers and sources in Kabul report that Taliban have halted currency rate-setting operations at Sarai Shahzada, the country’s primary foreign exchange market, over the past two days.
According to sources, Taliban forces entered Sarai Shahzada and the nearby Sarai Haidari in Mandawi market on Sunday evening, detaining more than 10 money exchangers.
The Taliban also shut down WhatsApp and Telegram groups used by exchangers to coordinate and determine currency rates, exchangers said. These groups had served as essential tools for managing exchange rates in the market.
Sources report that the Taliban warned exchangers that setting exchange rates is exclusively the responsibility of the central bank.
Exchangers allege the Taliban’s actions stem from financial constraints that limit their ability to inject U.S. dollars into the market. They claim the Taliban are attempting to control the market by exerting pressure on exchangers.
The Taliban-controlled central bank issued a statement saying that a meeting was held between Noor Ahmad Agha, the bank’s acting governor, and representatives from the money exchangers’ union. The discussion focused on maintaining the value of the afghani, preventing currency hoarding, and curbing smuggling.
“The central bank is fully committed to fulfilling its legal and national responsibilities to ensure economic stability, preserve the value of the afghani, and stabilize prices,” the statement said.
The crackdown on exchangers comes as the afghani faces a steep decline against the U.S. dollar. On Sunday, the exchange rate exceeded 80 afghanis per dollar, a significant drop attributed to the cessation of U.S. aid under a directive by former President Donald Trump.
