IMF suspends Afghanistan’s access to its resources after Taliban takeover

According to Reuters, the global monetary fund said on that Afghanistan will not be able to access its resources, including a new allocation of Special Drawing Rights reserves, due to a lack of clarity over the recognition of its government.

"As is always the case, the IMF is guided by the views of the international community. There is currently a lack of clarity within the international community regarding recognition of a government in Afghanistan, as a consequence of which the country cannot access SDRs or other IMF resources,” an IMF spokesperson said in a statement.

The country was supposed to receive resources of over $370m (£268m) from the IMF on August 23 as part of a global IMF response to the economic crisis.

In June, the monetary institution gave Afghanistan its latest loan instalment which was approved in November. In the similar month, a report was published in the United Nations (UN) saying that the "primary sources of Taliban financing remain criminal activities," including "drug trafficking and opium poppy production, extortion, kidnapping for ransom, mineral exploitation and revenues from tax collection in areas under Taliban control or influence."

The World Bank (WB) also provides financial support to several development projects in Afghanistan has provided the country with $5.3bn since 2002.