United States establishes Afghan Fund

Washington DC, 15 September 2022 (TDI): The United States announced the establishment of an “Afghan Fund” for the benefit of the Afghan people on Thursday.

The fund is established through the Department of the Treasury and the Department of State of the US, in coordination with international partners including the government of Switzerland and Afghan economic experts.

.@StateDeptSpox on the Afghan Fund: This fund will protect and preserve the Afghan Central Bank reserves, while making targeted disbursements to help stabilize their economy and, ultimately, support its people and work to alleviate the worst effects of the humanitarian crisis. pic.twitter.com/KOsHJ7dpy4

— Department of State (@StateDept) September 15, 2022

Despite persistent economic and humanitarian difficulties, the United States remains committed to assisting the people of Afghanistan.

President of the United States, Joe Biden established a policy allowing $3.5 billion in Afghan central bank reserves to be used for the benefit of the Afghan people through the Afghan Fund.

Also read: US announces aid for Afghanistan

Strict measures have been implemented to prevent cash from being utilized for illegal purposes. The Afghan Fund’s account will be maintained by the Bank for International Settlements (BIS) in Switzerland.

The Bank for International Settlements is an international financial organization that provides central banks, monetary authorities, and international financial organizations with a variety of financial services, including banking services. As mandated by Swiss law, an external auditor will oversee and audit the Afghan Fund.

Remarks by US Deputy Secretary of State    

“The people of Afghanistan face humanitarian and economic crises born of decades of conflict, severe drought, COVID-19, and endemic corruption,” said Wendy Sherman, United States Deputy Secretary of State.

She added, “Today, the United States and its partners take an important, concrete step forward in ensuring that additional resources can be brought to bear to reduce suffering and improve economic stability for the people of Afghanistan while continuing to hold the Taliban accountable.”

“In response to the critical challenges facing the people of Afghanistan, the United States is already the largest donor of humanitarian assistance,” Sherman also noted.

The United States has also worked with the World Bank and Asian Development Bank to make available more than $1 billion in assistance for basic services and other urgent needs.

Furthermore, the US is providing over $814 million in U.S. humanitarian aid directly to implementing partners to support the Afghan people.