public sector
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AFGHANISTAN: ‘Lack of dialogue and punishing sanctions are undermining the promotion of human rights’
CIVICUS speaks about the humanitarian crisis in Afghanistan with Hadiya Afzal, programme coordinator of Unfreeze Afghanistan.. Unfreeze Afghanistan is a women-led civil society organisation (CSO) formed by women from Afghanistan and the USA. It advocates for the release of Afghan assets frozen following the Taliban takeover to enable the state to pay salaries owed to public sector workers, including teachers and doctors, and tackle the ongoing humanitarian crisis.Why is civil society calling for the release of frozen assets of the Afghan state?
When over US$9 billion of Afghanistan’s Central Bank reserves were frozen in August 2021, it had a devastating impact on the economy. Central Bank assets are the people’s money, used to hold currency auctions in the country, safeguard against inflation and control price stability. Afghanistan needs its Central Bank reserves back to stabilise its economy and perform centralised banking functions again.
The assets frozen also included private monies, that is, accounts held by private individuals, companies and CSOs. People were unable to withdraw their own money from banks for months, with many still unable to do so due to lack of cash. Many Afghans sold off anything they owned to afford essential goods, the prices of which skyrocketed.
Over the past year, leading CSOs, humanitarian organisations and more than 70 economists, including Nobel Laureate Joseph Stiglitz, have advocated through meetings, protests, letters and media appearances for the return of Afghanistan’s money to get its economy back on its feet, independently of whatever global aid funding is provided. United Nations (UN) experts have also called for the USA to unblock Afghanistan’s frozen assets to ease the humanitarian situation.
What kind of safeguards should be put in place if the frozen assets are returned?
The USA has signalled that funds could be returned to Da Afghanistan Bank (DAB), the country’s central bank, as long as three conditions are met: the establishment of independent monitoring mechanisms, the implementation of credible anti-money laundering regulations and controls to combat the financing of terrorism and DAB’s insulation from political interference – which meant replacing its top leadership, in the hands of Taliban officials, one of whom is under US and UN sanctions, with professionals.
DAB has already agreed on independent monitoring conditions, and experts have set out how pre-existing independent monitoring and electronic auditing could be restored. US claims that the new Afghan government lacks expertise and that capacity building is needed for the state to be able to perform central bank functions could be addressed by assistance from the international community. The law that outlines DAB’s function as a technocratic institution charged with responsibilities such as currency auctions and oversight of banks is still in place. DAB continues to have the same audit oversight committee, with the same members it had under the previous government. And the chair of the audit committee has been an outspoken advocate for the return of DAB’s reserves.
The Afghan government should ensure that the DAB law remains in place and that the institution will function separate from political considerations. Advocacy experts highlighted that the USA does not apply audit conditions as strictly to other countries as it does to Afghanistan. It does not seize their foreign assets due to limited monitoring capabilities.
What else should the international community do to contribute to improving the humanitarian situation in Afghanistan?
The international community should focus on supporting a strong, independent Afghan economy that can run on its own, the first step in which should be to return the full assets of the Afghan people to its central bank.
Another measure the international community can take is to provide global aid raised by the UN and other international bodies. Human Rights Watch alerted that without sustained humanitarian aid donations, Afghanistan’s upcoming winter could be even worse than the last one.
Last year, UN emergency funding staved off experts’ worst fears of a devastating winter, but the people of Afghanistan cannot continue to depend on global kindness after a year marked by war, the pandemic and rising inflation. Afghanistan’s assets must be returned to its central bank to bring stability to the lives of ordinary Afghans, and the international community should invest in the infrastructure necessary to ensure its success.
What alternative measures, other than financial sanctions, can the international community implement to promote human rights, and specifically women’s rights, and support civil society in Afghanistan?
Sanctions have had a devastating impact on Afghanistan, and the resulting humanitarian crisis has disproportionately affected the average Afghan. The Center for Economic and Policy Research stated that financial sanctions on Afghanistan amount to a form of ‘collective punishment’ of the Afghan people for the actions of a government they did not choose.
The sanctions are not helping. In the words of Jamila Afghani, founder and president of the Afghan chapter of the Women’s International League for Peace and Freedom, ‘we are not supporting Afghan women by starving them’.
In fact, sanctions are only making things worse. The cultural practice of forced marriages and what effectively amounts to the sale of girls is reinforced by socio-economic factors. Even under the previous government more than 70 per cent of marriages were forced. These are expected to increase as a result of the humanitarian crisis.
Meanwhile, Islamic scholars such as Daisy Khan have highlighted Quranic evidence supporting women’s independence, education and liberation. The promotion of human rights and specifically women’s rights is best fostered in a stable economic environment with sustained international diplomacy and interfaith dialogue.
Lack of dialogue between the international community and the government of the Islamic Emirate of Afghanistan compounded by punishing sanctions is undermining the promotion of human rights. Human rights can only be promoted through constructive dialogue while addressing the drivers of wellbeing – rebuilding financial stability, economic independence and global cooperation.
Civic space in Afghanistan is rated ‘repressed’ by the CIVICUS Monitor.
Get in touch with Unfreeze Afghanistan through its website or Facebook page, and follow @UnfreezeAfghan on Twitter.
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AFGHANISTAN: ‘The seizure of sovereign assets will worsen the world’s worst humanitarian disaster’
CIVICUS speaks with Arash Azizzada, co-founder and co-director of Afghans for a Better Tomorrow, about the ongoing humanitarian crisis in Afghanistan. Afghans for A Better Tomorrow is a grassroots civil society organisation (CSO) dedicated tobringing about transformative change for Afghans in the USA and beyond. It has recently advocated for the release of Afghanistan’s frozen assets.Why is civil society calling for the return of Afghanistan’s frozen assets?
Before August 2021, when the USA froze Afghanistan’s assets, Afghanistan’s western-backed government was heavily reliant on foreign aid and was spending most of its revenue on the conflict with the Taliban. Since the Taliban took over, the entire country has essentially found itself sanctioned economically and Da Afghanistan Bank (DAB), its central bank, had all its assets frozen.
Since the DAB serves as collateral insurance for private banks to be able to operate, the entire banking system has been paralysed as of August 2021. The same goes for the whole Afghan economy: businesses and people cannot access their own hard-earned money to buy food at the market down the street. Philanthropic foundations have trouble sending funds into Afghanistan. This has contributed to soaring inflation, worsened by the rise in food and commodity prices caused by the Russian invasion of Ukraine and a record-breaking drought.
As a result, Afghanistan has become ‘hell on Earth’, as the director of the United Nations (UN) World Food Programme put it. Over 21 million Afghans don’t know where their next meal will come from. Every women-led Afghan household currently faces poverty and hunger as the country’s healthcare system teeters on the brink of collapse.
The consensus among Afghan civil society, both within and outside the country, is that the seizure of sovereign assets that belong to the Afghan people is a violation of international norms and will worsen the world’s worst humanitarian disaster. Through grassroots organising, high-level advocacy and litigation, the Afghan American community has stepped up to bring the frozen assets back to their rightful owner: the Afghan people.
At the same time, following the blocking of Afghan assets, a group of families in the USA who had secured rulings against the Taliban connected to its role in the 9/11 attacks filed a civil case in a federal court to enforce those rulings using the frozen DAB funds. In February 2022, President Joe Biden signed an executive order allocating half of the more than US$7 billion that the previous government of Afghanistan had placed in the New York Federal Reserve for humanitarian relief in Afghanistan and leaving half subject to litigation brought by some of the 9/11 families.
As part of a broad coalition of Afghan-American groups representing the community, we filed an amicus – friend of the court – brief stating that the court should oppose this for a variety of reasons, including the fact that the Taliban are not recognised as the legitimate rulers of Afghanistan by its people or the international community. The money belongs to the Afghan people, not the Taliban. And although 9/11 families deserve compensation, doing it this way would harm Afghans and not the Taliban.
What kind of safeguards should be put in place if the frozen assets are returned?
While the Taliban might be the de facto rulers of most of Afghanistan, they remain untrustworthy and illegitimate. But the DAB continues to be function as a technocratic body, so frozen funds should be returned as long as there is proper ring-fencing and enhanced safeguards such as electronic auditing records to ensure the reserves are not interfered with by the Taliban.
Our proposed plan recommends an initial trust-building process in which a conditional amount of US$150-200 million a month is released so that the DAB is allowed to perform its core functions. The funds ought to be used to regulate the Afghan currency and run US dollar auctions to inject liquidity into the struggling economy and ease the pain of the Afghan population. Not one cent of these funds should be used for humanitarian aid purposes.
What should the international community do to contribute to improving the humanitarian situation in Afghanistan?
International philanthropy and the international community should support a fledging Afghan civil society, and especially the women’s groups that remain operational within the country, by ensuring wide-ranging sanctions relief.
As it stands, the entire Afghan population is on the receiving end of collective punishment due to the sanctions imposed on the Afghan state. As the world has become hostile to doing business in the country, the World Bank and other international institutions should continue to focus on funding economic development projects and ensure the healthcare system remains functional.
The international community should work hard to differentiate between targeted sanctions that focus on individuals within the Taliban and projects that ensure Afghans have a chance at survival. As one example, direct cash assistance to the Afghan population remains a much more effective and equitable method of assistance than trying to truck in food for a population of over 21 million people and helping circumvent Taliban attempts at interfering with aid.
The UN appeal for humanitarian aid for Afghanistan still remains US$2 billion short of its target. There is a strong need for donor countries to fill that gap. Much of it should be filled by the NATO member countries that occupied Afghanistan for 20 years.
What alternative measures, other than financial sanctions, can the international community implement to promote human rights and support civil society in Afghanistan?
A core demand remains the non-recognition of the Taliban government, which is deepening its repression and remains unrepresentative of the Afghan population. It is important that the international community listens to the voices of Afghan civil society, and specifically those of Afghan women leaders and the minority Hazara and Shia communities.
The most vital thing at this moment is a strengthened mandate by the UN Assistance Mission in Afghanistan to document and monitor human rights violations as well as support accurate and free media in the country. Significant UN presence on the ground will be key as Afghanistan faces a deteriorating human and women’s rights situation.
Civic space in Afghanistan is rated ‘repressed’ by theCIVICUS Monitor.
Get in touch with Afghans for a Better Tomorrow through itswebsite orFacebook page,and follow@AfghansTomorrow on Twitter.
