Biden Administration Freezes Billions Of Dollars In Afghan Reserves
The Biden administration reportedly froze Afghan government reserves kept in U.S. bank account on Sunday, after the Taliban held onto the capital city of Kabul this end of the week, adequately overturning the nation’s administration.
The Washington Post announced that Treasury Secretary Janet Yellen and personnel at the Treasury’s Office of Foreign Assets Control chose to freeze the accounts, as indicated by two individuals acquainted with the matter.
The move successfully hinders the Taliban from getting to the billions of dollars that were being put away in U.S. institutions, the Post detailed.
“Any Central Bank assets the Afghan government have in the United States will not be made available to the Taliban,” an administration official told the newspaper in a statement
The State Department was additionally reportedly part of discussions this end of the week in regards to the accounts, and White House authorities were supposed to watch the turns of events.
The Hill has contacted the Treasury Department for more info.
The announced move by the arministration is the first in what is generally anticipated to be various significant choices high ranking representatives and officials will look as they wrestle with the arrival of the Taliban, which took control of the Afghanistan this end of the week following a withdrawal of U.S. troops.
Afghanistan is probably the poorest or least fortunate country on the planet, and depends intensely on American help that is presently in question.
The Afghan central bank had $9.4 billion in reserve asset as of April, according to the International Monetary Fund, which the Post noted is comparable to about 33% of the country’s yearly financial yield.
Most of those reserves, in any case, are not kept in Afghanistan, a source told the Post. Billions of dollars are allegedly held in the U.S., yet the specific sum isn’t known.
The Biden administration didn’t require new power to freeze the reserves on the grounds that the Taliban was at that point under sanctions from a chief order authorized after the Sept. 11, 2001, terrorist attacks, former Obama administration official Adam Smith told the newspaper.
Smith served on the National Security Council and as a senior adviser to the director of the Department of Treasury’s Office of Foreign Assets Control under the Obama administration.
The news comes after Abdul Ghani Baradar, the co-founder of the Taliban and a critical head of the group, landed in Afghanistan on Tuesday for the very first time in more than 10 years.