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IEA directs commission to take urgent steps to stabilize Afghan currency

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The Islamic Emirate of Afghanistan (IEA) on Monday held a minister’s council meeting at the Presidential Palace to find ways to stabilize the weakening Afghan currency.

IEA deputy spokesman Inamullah Samangani said in a tweet that the council directed the economic commission headed by Mawlawi Abdul Salam Hanafi to take urgent steps to stabilize the Afghani against the US dollar in coordination with all economic institutions.

“The commission was also tasked to take serious steps to prevent the smuggling of dollars, the spread of fake Afghan currency and eliminate other factors that have a negative impact on the value of the Afghan currency, and continue to urgently identify ways to stabilize the Afghan currency,” Samangani tweeted.

Meanwhile, Afghanistan’s Central Bank is meeting with money exchangers, commercial banks and business leaders on Tuesday in the hope of also finding ways to stabilize the value of the Afghani – which has fallen sharply in the last week against the US dollar.

This worrying drop in value of the Afghani against the dollar comes amid a deepening economic and humanitarian crisis and has led to a sharp increase in the price of goods, including essential items like food and fuel.

Officials from the Money Exchange Union in Sarai Shahzada, (Afghanistan’s largest money exchanging market) said on Monday the exchange rate was 123 AFN to the dollar, after sliding from 110 AFN to the dollar on Sunday.

A month ago, it was under 90 AFN to the dollar.

Union officials said part of the problem was due to rumors being spread by some money changers, who have since been let go.

On Monday, the market’s “Boli” section, which determines the value of the AFN and deals with large transactions, was closed.

Meanwhile, local media reported on Tuesday that a money changer suffered a stroke inside his shop in Farah province following the drop in value of the AFN.

According to shop owners in the area, the money changer had owed a significant amount of money to lenders and died as the AFN dropped.

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Pakistan’s kinno exports falter as tensions with Afghanistan continue

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Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.

Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.

Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.

Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.

Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.

Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.

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Pezeshkian pledges to facilitate Iran-Afghanistan trade

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Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.

He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.

Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.

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Afghanistan-Kazakhstan banking ties discussed in Kabul meeting

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A Kazakh delegation led by the Deputy Minister of Finance of Kazakhstan met with Sediqullah Khalid, First Deputy Governor of Da Afghanistan Bank, to discuss ways of strengthening banking and economic cooperation between the two countries.

According to a statement issued by Da Afghanistan Bank, Khalid said the central bank is keen to establish regular and effective banking relations with Kazakhstan as part of broader efforts to expand bilateral trade.

He noted that enhanced banking cooperation would help facilitate trade, investment, and wider economic interaction between Afghanistan and Kazakhstan, while also contributing to financial stability at the regional level.

Members of the Kazakh delegation also emphasized the importance of developing banking and economic ties and expressed their readiness to expand joint cooperation.

The two sides further agreed to establish technical committees from both countries to hold expert-level discussions and advance practical steps for cooperation.

 
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