Afghanistan’s Frozen Funds/Biden Executive Order 14064 Fact Sheet

Fact Sheets

11 Mar

Talking Points:

This money belongs to the Afghan people; not anyone else’s and not up to the Biden administration because it has no authority or discretion over it
Afghanistan’s seizing of funds and redirection of $3.5b to families of the victims of 9/11 is a violation of the Afghan people’s sovereignty
The $7.1billion should be used for its original intent - conduct monetary policy, regulate banks, conduct dollar-swaps, control inflation
Foreign-aid dependency of the past, in addition to sanctions, is leading to economic strangulation and collective punishment for 38+ million Afghans
Executive Order 14064 does not alleviate the concerns of humanitarian groups who are unable to utilize the banking system within Afghanistan to deliver aid
Humanitarian aid alone cannot be used to feed an entire country’s population and requires economic measures to prevent famine in Afghanistan
This humanitarian crisis is man-made; decisions taken in Washington D.C. can serve to lessen the pain and suffering of the Afghan people
Taliban rule is brutal and draconian but the Afghan people should not have to suffer twice -- once from the Taliban and again from American economic policy

Policy recommendations:

The Biden administration should address the economic roots of the humanitarian crisis in Afghanistan, partially through the release of Afghanistan’s frozen funds through a conditional, monitored, and gradual release through DAB. We recommend an initial release of $100-$150 million through a secure mechanism.
The Biden administration should prioritize working with the Central Bank of Afghanistan or “Da Afghanistan Bank” (DAB) to ensure it remains an independent institution, functional, properly ring fenced, and filled with technocrats as well as properly credentialed to carry out its vital tasks

Non-EO policy recommendations:

Review, study and loosen current sanctions regime imposed on Afghanistan
Work with International Monetary Fund to gradually release Special Drawing Rights (SDR) reserves similarly to frozen funds

Essential reading:

Afghans For A Better Tomorrow - Frozen Funds Explainer Video