<\/p>\n
By Karen de Young<\/p>\n
By virtually every measure, life inside Afghanistan has deteriorated to new lows in the nearly 14 months since US troops withdrew and the Taliban took over, according to a report by UN experts who have helped co-ordinate hundreds of millions of dollars worth of international aid to feed and provide healthcare for Afghans. <\/p>\n
While the assistance \u201ctook the edge off\u201d the unfolding catastrophe, \u201cnone of us should be surprised that things still got worse\u201d, UN Development Programme administrator Achim Steiner said.<\/p>\n
The 35-page UNDP report, scheduled for release on Wednesday, is a socio-economic snapshot of the past year in Afghanistan. It concludes that there is little prospect for improvement without the unfreezing of Afghan government assets held mostly in the US, an easing of restrictions on access to international financial systems, the re-establishment of a functional banking system and the revival of the private sector. <\/p>\n
The unprecedented situation in Afghanistan under the Taliban has posed a dilemma for the donor world, particularly the US. The militant takeover meant, overnight, the end of funding that had provided more than 75% of the pre-Taliban government\u2019s budget. In addition to its foreign reserves, Kabul\u2019s access to development funding and credit was cut off.<\/p>\n
Those measures will not be reversed, the Biden administration and its partners have said, until the Taliban de facto government, which no country in the world recognises as legitimate, makes good on its commitments to become more inclusive of non-Taliban and minorities, restore the rights it has taken away from women and girls and break all ties with global terrorists. None of that has happened.<\/p>\n
The results of the stalemate have been felt by the vast majority of Afghanistan\u2019s 40 million people. Humanitarian relief, distributed by non-governmental agencies to circumvent the Taliban, has kept many of them alive, but only barely.<\/p>\n
\u201cAdd it all together, and this is what you get when a country goes into free fall,\u201d Steiner said. \u201cWe have never seen an economic implosion\u201d of this magnitude, he said. The report says \u201cthe economy is expected to shrink dramatically in 2022 by up to 20%, which, combined with food price inflation and drought conditions in many parts, can result in the extreme case scenario of poverty affecting 95-97% of the population\u201d. <\/p>\n
The price of food has increased an average 35%, with the poor spending 60-70% of their income on it: \u201cHalf of all children under five years of age are facing acute malnutrition\u201d. Access to credit barely exists, the government cannot print money and most of the cash entering the country comes through the hawala, or informal, unregulated exchange system.<\/p>\n
Jobs are scarce, as employers from manufacturing to market stalls have closed or deeply cut back. Massive numbers of technocrats and skilled workers have left the country.<\/p>\n
\u201cHad development assistance and investments been allowed from day one, we wouldn\u2019t be seeing the numbers we\u2019re seeing now,\u201d said Kanni Wignaraja, director of the UNDP regional bureau covering Afghanistan.<\/p>\n
\u201cThat\u2019s not to say it would have been all wonderful. You would still have seen a drop in GDP (gross domestic product), and an increase in poverty, but not the numbers we\u2019re seeing now.\u201d<\/p>\n
Two aspects of the economy have shown improvement, according to the report. Government-collected customs duties have increased under the Taliban, who appear to have curtailed much of the border bribery that was endemic under the previous, US-backed government. Afghanistan\u2019s primary legal export, coal, is sold to Pakistan at a bargain-basement price paid in local currency.<\/p>\n
What the report refers to as the \u201cillicit economy\u201d \u2013 largely poppy cultivation and heroin production \u2013 has increased as other sectors shrink. Over the past year, its share of GDP has increased from 9-14% to 12-18%. A Taliban poppy ban that went into effect after this year\u2019s harvest, if enforced, is likely to have a negative economic impact in the coming year.<\/p>\n
According to the report, 2.5 million Afghans moved abroad between 2021 and April of this year. \u201cThough it is difficult to get an exact idea of the profile\u201d of those who departed, \u201cit strongly suggests a loss of skilled workforce from Afghanistan as up to 73% of firms have reported laying off workers because of business uncertainty and demand contraction\u201d.<\/p>\n
The report estimates that Taliban restrictions on women in the workforce have cost up to 5% of Afghanistan\u2019s gross domestic product. Prohibited or discouraged from working in most sectors of the economy, and largely confined to their homes, their numbers have dropped precipitously in two sectors \u2013 textile and clothing manufacturing, and public administration and social services, including teaching.<\/p>\n
The Taliban decreed in March that girls were not allowed to attend public secondary school, although the order has been quietly ignored in some areas. \u201cOf all the jobs that women have lost in government ministries and entities\u201d between March 2021 and March 2022, \u201cmore than 14 000 \u2013 82% of the total \u2013 are in the Ministry of Education\u201d. <\/p>\n
Of those jobs that still exist on paper, some women do not teach but sign in and out every week or two and receive at least a partial salary. Some women teachers from secondary schools were reportedly reassigned to teach primary classes in other districts.<\/p>\n
One unidentified woman government employee quoted in the report said she had received a call from her ministry\u2019s human resources department \u201casking me to introduce a male family member to take my place\u201d.<\/p>\n
According to the report, 43% of media outlets have closed since the Taliban takeover, and the number of women journalists has been reduced from about 2 900 to slightly more than 400. Overall, the report concludes, \u201chumanitarian aid will not be enough to reverse the deterioration in human development and security; indeed, the availability of humanitarian funding may decline in the face of competing emergencies\u201d, including the mounting costs of the war in Ukraine. In the absence of a comprehensive solution, the international community has tried to fashion workarounds to avoid putting money in the hands of the Taliban.<\/p>\n
In addition to food and medical aid paid for largely by the US and others, the UNDP has used contributions from foundations to directly fund hospitals and clinics and pay healthcare workers.<\/p>\n
Some World Bank funds have been made available to preserve infrastructure and pay workers. European governments and Japan have provided targeted payments, including grants of about $1 000 each, to 34 000 women entrepreneurs running small businesses. A handful of what Steiner called particularly \u201cvulnerable households\u201d have received direct cash payments.<\/p>\n
\u201cThey are a fraction of the cost of flying in a plane of wheat,\u201d he said. \u201cYet they have allowed people to survive.\u201d In February, President Joe Biden announced that half of the $7 billion in Afghan government assets frozen in the Federal Reserve would be reserved for victims of the September 11, 2001, terrorist attacks who have won US legal judgments against the Taliban.<\/p>\n
A federal magistrate found in August, however, that all the money properly belongs to the Afghan central bank, and recommended that the district court in charge of the case rule against the plan. No final ruling has been made.<\/p>\n
Last month, the administration said that it would transfer the other $3.5 billion to a new Swiss-based fund, overseen by a four-person board composed of US and Swiss government representatives and two Afghan experts outside the country, for the benefit of the \u201cAfghan people\u201d.<\/p>\n
No firm decisions have yet been announced on how or for what purpose the money will be disbursed. <\/p>\n
* The article was first published in The Washington Post<\/p>\n","protected":false},"excerpt":{"rendered":"
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