Afghanistan’s Central Bank to Auction $16 Million Amid Currency Market Volatility
Afghanistan’s Central Bank has announced that it will auction up to 16 million US dollars on Tuesday through a bidding process. This move comes as the country’s currency market continues to experience periodic fluctuations, with the Taliban administration’s monetary policies under close scrutiny by economic actors.
According to the institution’s bulletin, commercial banks, exchange companies, and providers of monetary services have been invited to participate in the auction. The primary objective of such auctions is usually to manage liquidity and control the exchange rate.
The Central Bank has specified that the winning bidders are required to settle their accounts in full by the end of the same day and pay the purchased amount in cash in a single installment.
In recent months, the Central Bank’s exchange policies have consistently faced questions regarding the transparency and sustainability of foreign currency reserves. This issue, given banking restrictions and international sanctions, directly impacts the country’s financial stability.
