Afghani Increases 9.93% Against US Dollar in Solar Year 1404, Central Bank Reports

The Central Bank of Afghanistan has reported a 9.93 percent increase in the value of the afghani against the US dollar during solar year 1404.

Officials from the bank attributed the gain to reasonable monetary policies that maintained the afghani's stability against global currencies while boosting its value against the dollar. They said expanded oversight of financial institutions and private banks has increased transparency and standardization in the sector.

To regulate the money market, the bank collected and burned worn-out and deteriorated currencies. Progress was also made in electronic banking, with a rise in electronic payments across the country.

Haseebullah Noori, spokesperson for the Central Bank, said the institution has undertaken extensive efforts to expand banking services nationwide, making Islamic banking widely available to citizens.

Banking analysts described the Central Bank's stabilization efforts as important but emphasized the need to address internal banking challenges and push for the lifting of international financial sanctions on Afghanistan. They noted that strengthening banking services could attract billions of afghanis currently held traditionally at home, injecting them into the financial system to bolster the national economy.