Taliban face severe economic challenges, says Karzai aide

A damaged house is seen on Saturday after airstrikes two weeks ago during clashes between Ghani forces and the Taliban in Lashkar Gah, Helmand province, Afghanistan. (AP)
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Updated 22 August 2021
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Taliban face severe economic challenges, says Karzai aide

  • ‘Afghan people received nothing from the huge sums that were allocated to the country’
  • The economic situation must not deteriorate; if so, it will push the Taliban into ostracism

PARIS: History is repeating itself in Afghanistan: The Taliban have regained power. As they advanced toward Kabul, the army and police abandoned their posts and weapons, demotivated by the withdrawal of American troops and the departure of President Ashraf Ghani, who sought refuge in Tajikistan before moving to the UAE.

Since their seizure of Kabul a few days ago, a series of significant scenes have followed; hundreds of citizens ran toward the airport fighting for a plane seat, others displayed images of women in wedding dresses in front of a beauty salon in order to avoid punishment; three citizens were killed by Taliban bullets during a demonstration that opposed the desecration of the Afghan flag. Meanwhile, the Taliban continue to assert that they “will respect the rights of men and women” and will not make Afghanistan a haven for terrorists. The armed group admitted to making mistakes when it first came to power.
Today’s challenges are daunting for the Taliban and the economy is the key factor for the new rulers of Kabul. For years, the country has been financed by international donations (50 percent of tax revenue), while poverty reaches 66 percent of the young population and dependence on agriculture in a country that is both landlocked and mountainous at 50 percent complicates economic recovery.
Arab News France met with Torek Farhadi — the former economic adviser to Hamid Karzai, the first post-Sept. 11 Afghan president — to get an update on the Afghan economy and its prospects in the changed circumstances.

Q Who are Afghanistan’s most important economic partners today?
A Afghanistan is a country that imports fuel, food, medicine and construction materials worth $10 billion. Its biggest partners are Iran, followed by Pakistan and then Uzbekistan. With imports worth $10 billion annually, the Taliban could earn money and continue to pay state officials by imposing taxes on goods at customs. The country has run out of cash and the US has frozen the reserves of the Afghan Central Bank. Having said that, the country is not heading toward a payments crisis, but if the Afghan Central Bank is not operative, letters of credit and debts cannot be honored, and so the Afghan pound will lose value.

Q As an importing country, does Afghanistan have enough foreign exchange reserves to survive?
A The former governor of the central bank said foreign exchange reserves are nearly nonexistent. Most of Afghanistan’s reserves are invested in foreign banks, for security. However, this is not a good solution, because there is no more money within the country and the money abroad is frozen.

Q How could these frozen reserves be released?
A To unfreeze this money, it is important that the Taliban convert into statesmen. The international community’s condition is for the Taliban not to shelter terrorists, to respect women’s rights and to form an inclusive government with competent personalities. Then again, they must act quickly, because once the government is elected the Taliban will be able to claim the central bank reserves, which amount to $9.5 billion, frozen in accounts in the US. The economic situation must not deteriorate; if so, it will push the Taliban into ostracism and the international community will by default create a nonstate actor. We must not isolate states and peoples, then wonder why and how human trafficking, drug trafficking and terrorism proliferate in these countries. We must push the Taliban to form a government, include the different political components of Afghan society and respect the rights of men and women. Once these conditions are met, access to parts of the central reserve to pay the country’s bills will likely be possible. This will of course give the international community power over the Afghan government, but Afghanistan should not be turned into a pariah state.
Q The dependence on aid is striking. In 2019, World Bank figures show that development aid was 43 percent of the gross national income. Will this aid to Afghanistan last?
A Germany, Japan, the US, Great Britain and the EU are the biggest donors. They have contributed significantly to the country’s current budget; just before the collapse of the Ghani government, around 70 to 80 percent of the annual budget was funded by donors. What we would like is for the government formed by the Taliban to be open and extended to gain the world’s confidence and to keep providing aid. Countries like Germany have warned that if the Taliban apply Shariah this aid will stop, but these are internal policy statements and this same Germany will help the UN and the World Bank to raise funds for humanitarian reasons. However, when there are famine problems that would affect women and children, international organizations must be able to channel this aid. I am for diplomacy that engages groups and shows them the levers of interchange with the international community.

Q The Taliban spokesperson says that they will not allow the existence of trade and cultivation of opium and other drugs in Afghanistan. The reality, on the other hand, is that the Taliban have always relied on the sale of opium (84 percent of world production) and the imposition of an Islamic household tax (zakat). Will they use these processes again?
A We must separate the two periods. There was the one where the Taliban were an armed resistance group, which waged war and had income of all kinds; the opium that you mentioned in the southwest, the mining reserves scattered around the country, the collection of taxes on agriculture and of goods at customs, etc. But today this armed group will rule Afghanistan and must learn how to find an income and decide what to spend it on.

Q Hamid Karzai is known to have left power with millions of dollars in his bank account. Is this the case with Ashraf Ghani? What was the economic plan of each of its two successive heads of state between 2007 and 2021?
A They are two leaders who did not have economic visions. It is true that fugitive president Ashraf Ghani comes from the World Bank, but he was an anthropologist. He said he wanted to improve the investment climate, but he revived corruption. The people received nothing from the huge sums that were allocated to Afghanistan and that is why his government has collapsed like a house of cards.


Pakistan PM visits Azerbaijan embassy, condoles loss of lives in Kazakhstan plane crash

Updated 1 min 48 sec ago
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Pakistan PM visits Azerbaijan embassy, condoles loss of lives in Kazakhstan plane crash

  • At least 38 people were killed when Azerbaijan Airlines passenger plane crashed in Kazakhstan’s Aktau city
  • Shehbaz Sharif says ties between Pakistan and Azerbaijan rooted in shared religious and cultural values

ISLAMABAD: Prime Minister Shehbaz Sharif visited Azerbaijan’s embassy in Islamabad on Thursday to condole over the loss of lives in the Azerbaijan Airlines plane crash in Kazakhstan, the Prime Minister’s Office (PMO) said. 
At least 38 people were killed when an Azerbaijan Airlines passenger plane with 67 people on board crashed near the Kazakhstan city of Aktau on Wednesday. The Embraer 190 aircraft was en route from the Azerbaijani capital of Baku to the Russian city of Grozny in the North Caucasus.
The Pakistani prime minister visited the Azerbaijan embassy in Islamabad where he met Khazar Farhadov to offer his condolences over the incident.
“In this hour of grief, the government of Pakistan and the people of Pakistan express their complete solidarity with the brothers and sisters of Azerbaijan,” Sharif was quoted as saying by the PMO.
The Pakistani prime minister prayed for the speedy recovery of all injured in the blast.
“Azerbaijan and Pakistan have strong relations of brotherhood based on shared religious and cultural values,” Sharif said.
Pakistan has eyed closer economic cooperation with Central Asian states such as Azerbaijan in recent months as the South Asian nation faces an economic crisis. 
During Azerbaijan President Ilham Aliyev’s two-day visit to Pakistan in July, both nations agreed to enhance the volume of bilateral trade to $2 billion, vowing to strengthen ties and increase cooperation in mutually beneficial economic projects. 
They also signed the Pakistan-Azerbaijan Preferential Trade Agreement to boost economic cooperation through the reduction of tariffs on goods like Pakistani sports equipment, leather, and pharmaceuticals as well as Azerbaijani oil and gas products.


Syria authorities arrest official behind Saydnaya death penalties

Updated 3 min 29 sec ago
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Syria authorities arrest official behind Saydnaya death penalties

  • Confirmation by monitor of his detention came a day after deadly clashes erupted in province of Tartus, an Assad stronghold, when gunmen sought to protect him

DAMASCUS: Syria’s new authorities have arrested a military justice official who under ousted president Bashar Assad issued death sentences for detainees in the notorious Saydnaya prison, a war monitor said Thursday.
The confirmation by the Syrian Observatory for Human Rights of his detention came a day after deadly clashes erupted in the coastal province of Tartus, an Assad stronghold, when gunmen sought to protect him.
Mohammed Kanjo Hassan is the highest-ranking officer whose arrest has been announced since Assad’s ousting on December 8.
Assad fled for Russia after a militant offensive wrested from his control city after city until Damascus fell, ending his clan’s five-decade rule and sparking celebrations in Syria and beyond.
The offensive caught Assad and his inner circle by surprise and while fleeing the country he took with him only a handful of confidants.
Many others were left behind, including his brother Maher Assad, who according to a Syrian military source fled to Iraq before heading to Russia.
Other collaborators were believed to have taken refuge in their hometowns in Alawite regions that were once a stronghold of the Assad clan.
According to the Association of Detainees and Missing Persons of Saydnaya Prison, Kanjo Hassan headed Syria’s military field court from 2011 to 2014, the first three years of the war that began with Assad’s crackdown on Arab Spring-inspired democracy protests.
He was later promoted to chief of military justice nationwide, the group’s co-founder Diab Serriya said, adding that he sentenced “thousands of people” to death.
The Saydnaya complex, the site of extrajudicial executions, torture and forced disappearances, epitomised the atrocities committed against Assad’s opponents.
The fate of tens of thousands of prisoners and missing people remains one of the most harrowing legacies of his rule.
After 13 years of civil war, Syria’s new leaders from Hayat Tahrir Al-Sham (HTS) face the monumental task of safeguarding the multi-confessional, multi-ethnic country from further collapse.
With its roots in Syria’s branch of Al-Qaeda, a Sunni Muslim extremist group, HTS has moderated its rhetoric and vowed to ensure protection for minorities, including the Alawite community from which Assad hails.
With 500,000 killed in the war and more than 100,000 still missing, the new authorities have also pledged justice for the victims of abuses under the deposed ruler.
They also face the substantial task of restoring security to a country ravaged by war and where arms have become ubiquitous.
During the offensive that precipitated Assad’s ousting, rebels flung open the doors of prisons and detention centers around the country, letting out thousands of people.
In central Damascus, relatives of some of the missing have hung up posters of their loved ones in the hope that with Assad gone, they may one day learn what happened to them.
World powers and international organizations have called for the urgent establishment of mechanisms for accountability.
With the judiciary not yet reorganized since Assad’s toppling, it is unclear how detainees suspected of crimes linked to the former authorities will be tried.
Some members of the Alawite community fear that with Assad gone, they will be at risk of attacks from groups hungry for revenge or driven by sectarian hate.
On Wednesday, angry protests erupted in several areas around Syria, including Assad’s hometown of Qardaha, over a video showing an attack on an Alawite shrine that circulated online.
The Observatory said that one demonstrator was killed and five others wounded “after security forces... opened fire to disperse” a crowd in the central city of Homs.
The transitional authorities appointed by HTS said in a statement that the shrine attack took place early this month, with the interior ministry saying it was carried out by “unknown groups” and that republishing the video served to “stir up strife.”
On Thursday, the information ministry introduced a ban on publishing or distributing “any content or information with a sectarian nature aimed at spreading division and discrimination.”
In one of Wednesday’s protests over the video, large crowds chanted slogans including “Alawite, Sunni, we want peace.”
Assad long presented himself as a protector of minority groups in Sunni-majority Syria, though critics said he played on sectarian divisions to stay in power.
In Homs, where the authorities imposed a nighttime curfew, 42-year-old resident Hadi reported “a vast deployment of HTS men in areas where there were protests.”
“There is a lot of fear,” he said.
In coastal Latakia, protester Ghidak Mayya, 30, said that for now, Alawites were “listening to calls for calm,” but putting too much pressure on the community “risks an explosion.”
Noting the anxieties, Sam Heller of the Century Foundation think tank told AFP that Syria’s new rulers had to balance dealing with sectarian tensions while promising that those responsible for abuses under Assad would be held accountable.
“But they’re obviously also contending with what seems like a real desire on the part of some of their constituents for what they would say is accountability, maybe also revenge, it depends on how you want to characterise it,” he said.


Indonesian People’s Consultative Assembly speaker visits Muslim World League

Speaker of the Indonesian People’s Consultative Assembly, Ahmad Muzani, is received by MWL secretary-general Mohammed Al-Issa
Updated 24 min 5 sec ago
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Indonesian People’s Consultative Assembly speaker visits Muslim World League

  • Muzani expressed appreciation for the MWL’s global efforts to promote Islam’s message of peace and tolerance

RIYADH: The speaker of the Indonesian People’s Consultative Assembly, Ahmad Muzani, led a delegation to the headquarters of the Muslim World League in Makkah.

Muzani was received by Dr. Mohammed Al-Issa, the league’s secretary-general and chairman of the Organization of Muslim Scholars.

Muzani delivered greetings from Indonesian President Prabowo Subianto and expressed appreciation for the MWL’s global efforts to promote Islam’s message of peace and tolerance.

He said that the league, through its extensive outreach and dialogue initiatives across diverse cultures and religions, effectively conveys the true essence of Islam.


Manmohan Singh, India’s reluctant prime minister, dies aged 92

Updated 37 min 58 sec ago
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Manmohan Singh, India’s reluctant prime minister, dies aged 92

  • The first Sikh in office, 92-year-old Singh was being treated for age-related medical conditions
  • He is credited with steering India to unprecedented economic growth, lifting millions out of poverty

NEW DELHI: Described as a “reluctant king” in his first stint as prime minister, the quietly spoken Manmohan Singh was arguably one of India’s most successful leaders.
The first Sikh in office, Singh, 92, was being treated for age-related medical conditions and died after he was brought to hospital after a sudden loss of consciousness on Thursday.
He is credited with steering India to unprecedented economic growth and lifting hundreds of millions out of dire poverty. He went on to serve a rare second term.
Prime Minister Narendra Modi said: “India mourns the loss of one of its most distinguished leaders, Dr. Manmohan Singh Ji.”
He applauded the economist-turned-politician’s body of work.
Born into a poor family in a part of British-ruled India now in Pakistan, Singh studied by candlelight to win a place at Cambridge University before heading to Oxford, earning a doctorate with a thesis on the role of exports and free trade in India’s economy.
He became a respected economist, then India’s central bank governor and a government adviser but had no apparent plans for a political career when he was suddenly tapped to become finance minister in 1991.
During that tenure to 1996, Singh was the architect of reforms that saved India’s economy from a severe balance of payments crisis, promoted deregulation and other measures that opened an insular country to the world.
Famously quoting Victor Hugo in his maiden budget speech, he said: “No power on earth can stop an idea whose time has come,” before adding: “The emergence of India as a major economic power in the world happens to be one such idea.”
Singh’s ascension to prime minister in 2004 was even more unexpected.
He was asked to take on the job by Sonia Gandhi, who led the center-left Congress party to a surprise victory. Italian by birth, she feared her ancestry would be used by Hindu-nationalist opponents to attack the government if she were to lead the country.
Riding an unprecedented period of economic growth, Singh’s government shared the spoils of the country’s new found wealth, introducing welfare schemes such as a jobs program for the rural poor.
In 2008, his government also clinched a landmark deal that permitted peaceful trade in nuclear energy with the United States for the first time in three decades, paving the way for strong relations between New Delhi and Washington.
But his efforts to further open up the Indian economy were frequently frustrated by political wrangling within his own party and demands made by coalition partners.
“HISTORY WILL BE KINDER TO ME”
And while he was widely respected by other world leaders, at home Singh always had to fend off the perception that Sonia Gandhi was the real power in the government.
The widow of former prime minister Rajiv Gandhi, whose family has dominated Indian politics since independence from Britain in 1947, she remained Congress party leader and often made key decisions.
Known for his simple lifestyle and with a reputation for honesty, Singh was not personally seen as corrupt. But he came under attack for failing to crack down on members of his government as a series of scandals erupted in his second term, triggering mass protests.
The latter years of his premiership saw India’s growth story, which he had helped engineer, wobble as global economic turbulence and slow government decision-making battered investment sentiment.
In 2012, his government was tipped into a minority after the Congress party’s biggest ally quit their coalition in protest at the entry of foreign supermarkets.
Two years later Congress was decisively swept aside by the Bharatiya Janata Party under Narendra Modi, a strongman who promised to end the economic standstill, clean up graft and bring inclusive growth to the hinterlands.
But at a press conference just months before he left office, Singh insisted he had done the best he could.
“I honestly believe that history will be kinder to me than the contemporary media or, for that matter, the opposition parties in parliament,” he said.
Singh is survived by his wife and three daughters.


WHO chief says he is safe after Sanaa airport bombardment

Updated 43 min 23 sec ago
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WHO chief says he is safe after Sanaa airport bombardment

  • Tedros was in Yemen as part of a mission to seek the release of detained UN staff and assess the health and humanitarian situations in the war-torn country

GENEVA: The head of the World Health Organization, who was at the Sanaa airport in Yemen amid an Israeli bombardment on Thursday, said there was damage to infrastructure but he remained safe.
“One of our plane’s crew members was injured. At least two people were reported killed at the airport,” Tedros Adhanom Ghebreyesus posted on X.
Other UN staff were also safe but their departure was delayed until repairs could be made, he added.
Tedros was in Yemen as part of a mission to seek the release of detained UN staff and assess the health and humanitarian situations in the war-torn country.
He said the mission “concluded today,” and “we continue to call for the detainees’ immediate release.”
While about to board their flight, he said “the airport came under aerial bombardment.”
“The air traffic control tower, the departure lounge — just a few meters from where we were — and the runway were damaged.”
The Israeli air strikes came a day after the latest attacks on Israel by Iran-backed Houthis.
The Houthi-held capital’s airport was struck by “more than six” attacks with raids also targeting the adjacent Al-Dailami air base, a witness told AFP.