Will the US President order the release of Afghan assets that have been frozen?
According to the US source, the US courts where the 9/11 victims' complaints against the Taliban were filed would have to take action to pay the victims.
According to a US source, President Joe Biden is expected to sign an order on Friday allowing nearly $7 billion in frozen Afghan central bank assets in US institutions to be released, including humanitarian help and proceeds from the 9/11 attacks. As recompense, victims of the assaults will be exploited.
The order, according to the Associated Press, would oblige US financial institutions to make 3.5 billion in assets available for Afghan aid and fundamental requirements
Because the decision had not been properly announced, the US official spoke on the condition of anonymity.
According to Reuters, the other half of the assets will be maintained in the United States, susceptible to legal action by US victims of terrorism, including the September 11 hijackers. Also mentioned are relatives of those slain in the assaults.
International assistance was blocked and billions of dollars in Afghan assets overseas, largely in the United States, were frozen when the Taliban gained control of Afghanistan in mid-August.
Since the Taliban assumed power, the country's long-struggling economy has deteriorated. The former Afghan government received almost 80% of its funding from the international community. The money was utilized to finance hospitals, schools, companies, and government departments, but it is no longer accessible.
According to the US source, the US courts where the 9/11 victims' complaints against the Taliban were filed would have to take action to pay the victims.
US President Joe Biden is likely to sign the executive order on Friday evening.
The Taliban has urged the world community to disburse finances and assist in averting a humanitarian crisis.
Afghanistan's assets total more than $9 billion, with more than $7 billion in the United States and the remainder in Germany, the United Arab Emirates, Switzerland, and Qatar.
The Afghan Taliban will undoubtedly oppose this separation.
The World Bank is in favor of using frozen assets to aid Afghanistan.
A representative for the World Bank said that the bank's board of directors had examined the issue and that all donors will be present at a meeting on Friday.
The World Bank has cleared the release of 280 million dollars in blocked Afghan funds to two assistance organizations that might utilize them to alleviate the country's humanitarian situation.
Two individuals familiar with the situation confirmed this to Reuters on Wednesday.
In order for the money to be sent to the World Food Program and UNICEF, the 31 members of the World Bank-managed Afghanistan Reconstruction Trust Fund must first authorize the transfer of these monies. On Friday, the donors are due to meet (December 3).
On Tuesday, the World Bank's board of directors convened in normal session to allocate around $500 million of Afghanistan's 1.5 billion dollars to humanitarian relief organizations.
It should be mentioned that Afghanistan's 39 million people, who have been at war for 20 years, are experiencing economic hardships, as well as increased food shortages and destitution in the winter.
This help may be good, according to Afghan analysts, but the issue remains as to how this cash should be sent to Afghanistan without violating US sanctions.
Despite the fact that the US Treasury Department has issued "comfort letters" reassuring banks that they may perform humanitarian transactions, US sanctions continue to obstruct the supply of essential goods. Any money transfers from the Afghanistan Reconstruction Trust Fund must be authorized by all the fund contributors, with the US being the biggest.
- The World Bank's backing for the transfer has eluded the White House and the US Treasury Department.
- A representative for the World Bank said that the bank's board of directors had examined the issue and that all donors will be present at a meeting on Friday.
- According to the Associated Press (AP), following the collapse of the Ashraf administration, Afghanistan's central bank's over 9.5 billion reserves, the majority of which are in the United States, were frozen.
Debra Lines, the UN special envoy to Afghanistan, had previously warned the international community that the country was on the verge of a "humanitarian disaster" and that the country's deteriorating economy might enhance the likelihood of extremism.
The forthcoming decree by US President Joe Biden was originally reported by the New York Times.
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