US blocks Taliban access to $9.5 billion Afghan monetary reserves

The Taliban, which remains on the list of ‘Specially Designated Nationals’, would not be able to access any Afghan central bank assets kept in the United States.

The Biden Administration in the United States froze assets worth nearly $9.5 billion belonging to Da Afghanistan Bank and blocked cash from being shipped to the war-torn nation, in a bid to prevent the Taliban from accessing the money, Bloomberg reported based on confirmation by an official familiar with the development.

US treasury secretary Janet L Yellen and the Office of Foreign Assets Control on Sunday gave orders to freeze Afghan government reserves held in American banks. (File photo)

The move followed a decision by the US treasury secretary Janet L Yellen and officials in the Treasury Department’s Office of Foreign Assets Control on Sunday when it ordered to freeze Afghan government reserves held in US banks.

As a result of this action, the Taliban, which remains on the list of ‘Specially Designated Nationals’, facing financial sanctions, would not be able to access any Afghan central bank assets kept in the US, according to The Washington Post.

The International Monetary Fund estimate put Afghan central bank assets at $9.5 billion till April, a sizeable portion of which is in accounts with the New York Federal Reserve and other US-based financial institutions.

Ajmal Ahmadi, the acting governor of Afghanistan's central bank, took to Twitter on Monday to post that he came to know about remittances being stopped by the US to prevent the Taliban from gaining access to the money.

The US government didn’t need any fresh authority to freeze Afghan monetary reserves as the country’s government fell to the Taliban, which continued to face financial sanctions in the aftermath of the 9/11 attack.

The Taliban laid siege to Afghanistan's capital Kabul on Sunday, hours after President Ashraf Ghani escaped to a central Asian nation, signalling the takeover of the war-torn country's reigns days before US troops leave.

After taking over the presidential palace in Kabul on Sunday, and setting the stage for their rule in Afghanistan, 20 years after their ouster, the Taliban attempted to project a less aggressive face by saying no one would be "harmed", assurance thousands of Afghans are apprehensive of.

Taliban spokesperson Zabihullah Mujahid held a media conference on Tuesday to announce that the Taliban do not have "enmity towards anyone" and have "pardoned everyone" on their leader's orders.

However, the United Nations said the actions of the insurgents would be scrutinised closely. UN human rights office spokesperson Rupert Colville went to the extent of saying that the past history of the Taliban makes makes the world look at their latest promises with scepticism.