UN chief urges nations to infuse liquidity into Afghanistan’s economy to prevent collapse

New Delhi: With the growing instability in Afghanistan’s economy following the Taliban takeover, UN Secretary-General Antonio Guterres has urged the international community to find ways and direct cash to keep the economy from collapsing completely as the humanitarian crisis hit its population. badly affected.

Speaking to reporters at UN headquarters on Monday, Guterres criticized the Taliban for breaking promises they made to uphold the rights of women and girls after they seized power in August, including the news agency This includes allowing girls to go to school. Reuters.

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“Broken promises destroy the dreams of women and girls in Afghanistan,” Guterres said. There is no way to fix the economy if the Taliban stop women from working, she said. His views pointed to the deteriorating situation in the country and the need to mitigate the economic and humanitarian crisis that has arisen since the Taliban came to power following the withdrawal of US forces.

The Islamists’ takeover froze billions in central bank assets and international financial institutions suspended access to funds, even as humanitarian aid continued.

Banks are running out of money, civil servants are unpaid and food prices soar, according to Reuters “the crisis is affecting at least 18 million people – half the country’s population,” Guterres said. The “race against time” is underway, a massive UN humanitarian aid campaign as winter approaches.

Guterres also noted that the Afghan economy managed to stay away from foreign aid for nearly two decades, having been badly hit by drought and Covid-19 before the Taliban came to power. “I urge the world to act and infuse liquidity into the Afghan economy to avoid a collapse,” he said, explaining that any measure should be avoided by channeling cash through the Taliban.

He insisted that such measures should be taken independent of diplomatic decisions to recognize the government of Islamists.

Suggesting ways to inject liquidity into the economy, he said, are for UN agencies and humanitarian groups to offer direct cash payments to people, and that the World Bank may create a special trust fund from which to withdraw money. Can you

But, he added, “the main responsibility for finding a way back from the abyss lies with the Taliban”. Guterres said the group promised to uphold the rights of not only women and girls, but minorities and former government employees. “This is a make or break moment,” he said, warning that without action, the world will “pay a heavy price” as increasing numbers of Afghans flee their country “in search of a better life”.

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