Afghanistan's transition to Taliban rule has shrunk the economy by 40 per cent, pushing more children into menial work. EPA
Afghanistan's transition to Taliban rule has shrunk the economy by 40 per cent, pushing more children into menial work. EPA
Afghanistan's transition to Taliban rule has shrunk the economy by 40 per cent, pushing more children into menial work. EPA
Afghanistan's transition to Taliban rule has shrunk the economy by 40 per cent, pushing more children into menial work. EPA


The case for funding the Taliban


  • English
  • Arabic

November 23, 2021

The Taliban doesn’t deserve money. The militant group took power in Afghanistan after a 20-year campaign of brutality and war crimes. And after it took power, it revealed itself to be both unwilling and entirely incapable of governing a state that can function in the modern world. The only benefit it has brought is a spurious reduction in levels of petty crime, though its heavy-handedness and the culture of ethnic chauvinism in its ranks have only polarised the country further, presaging more insecurity and violence to come.

The Taliban certainly doesn’t deserve money from people abroad, given through their taxes or charity. Consequently, hundreds of millions of dollars of aid previously allocated for Afghanistan by the World Bank and the IMF is now being withheld. But the humanitarian argument for releasing it is clear.

The world’s largest aid agencies have given a barrage of warnings about this over the past month. The data is so stark and so plentiful that it is easy to become desensitised to it, but it is worth hearing anyway. The Afghan economy has shrunk by 40 per cent since the Taliban takeover in August. Banks are almost completely out of cash. There is only $4 billion left in the Afghan economy – about $100 per person – and only $500,000 of it (about $0.01 on the dollar) is in circulation. The rest is tucked under mattresses in homes, because people know how bad things are about to get.

Ninety per cent of the population is expected to be in poverty by next spring. And, as the executive director of the World Food Programme pointed out this week, 23 million people – more than half the country – face acute food insecurity. In other words, they are on the brink of starvation. WFP needs $2.4 billion to keep them alive.

The Taliban does not even deserve Afghanistan’s money. More than $9bn of Afghan government foreign exchange reserves are currently frozen, locked up in US and European banks. The argument for continuing to withhold those funds, and to deny any further income or savings by way of sanctions, is straightforward, using the logic of carrots and sticks to negotiate with the Taliban to change.

Perhaps the international community wants to see a different Afghanistan – one with a more inclusive government that has more respect for women – and don’t want to release a penny until they see it. Many US lawmakers certainly want to see it. “The only leverage we have left on the Taliban are these assets that we have frozen,” said Republican lawmaker Michael McCaul last week.

The Afghan economy relies primarily on international aid. EPA
The Afghan economy relies primarily on international aid. EPA
Afghans know how bad things are about to get

Nine billion dollars is a good carrot. But as the past 20 years of Afghan history, in which ethnic politics has operated like a cancer in Kabul, and the past three years of talks with the Taliban, which manifestly has delivered no concessions on social issues, have shown, vague demands for inclusivity and women’s rights do not make for a good short- or medium-term bargaining position. At most, they are guiding principles against which to measure long-term progress. Unless those who are withholding Afghan state funds can set out measurable definitions for inclusivity and women’s rights, the Taliban will continue to insist that its system is, at least as far as its ideology goes, both inclusive and respectful of women.

But even if a common understanding of the demands could be reached, the Taliban, as things stand, is a government in too much disarray to meet them. That may seem like a good time to negotiate with it, to exploit its desperation, but it is not. The group is so incompetent, so inexperienced and so divided that it lacks the coherence to negotiate back.

One has only to look at the Taliban’s increasingly broken relationship with Turkey and Qatar, two countries that had treated it with the highest degree of good faith, to see that the group is incapable of appeasing even its friends. How can it be expected to appease its enemies?

Even the “stick” element to sanctions is ineffective in Afghanistan right now. It is difficult to sanction a group that, by and large, never had much in the first place. Taliban-run Afghanistan is not Iran, where many leaders live in mansions, have children in foreign schools and squander public funds on foreign misadventures. The Taliban government can be accused of many things, but extreme profligacy is not one of them. Its fighters and even most of its leaders have spent the past 20 years in meagre circumstances. They have little to lose. Without power over a state that functions at at least a basic level, they may never have much to lose.

After a visit to Afghanistan this week, Dominik Stillhart, the ICRC’s operations director, called for “creative ways” to prevent Afghanistan’s total collapse. While he didn’t say what they might be, this is an allusion to a scenario in which money can be funnelled directly to the Afghan people in a way that circumvents Taliban control.

At the smallest scale, this is possible. Cash is already being smuggled into the country and used to feed hundreds of families through community-based initiatives. But at the scale needed to revive and sustain a national economy, to bolster the institutions of state and safeguard them for the future, this strategy is impossible. Only the reignition of the Afghan economy can do the trick.

The country's institutions must be allowed to survive – not for the benefit of the Taliban, but for ordinary Afghans. Most of them are under the age of 30 and have never picked up a gun or made a political speech. They deserve more – after two decades of promises from the international community – than to be stuck in a country left far, far worse off than the one they were born into.

Nine billion dollars or even $19bn will not be enough to give the Taliban the resources it needs to create the extremist dystopia the world wants to prevent. But it will be enough to keep the millions of Afghans who want something better out of life than what the Taliban offers alive for another year. And we cannot forget that, one day, if the Taliban government falls as a result of its continued cruelty and ineptitude, those Afghans will be the ones picking up the pieces.

They need to inherit a country with real institutions, and where half of the people they know are not starving to death. The Taliban doesn’t deserve anyone’s money, but they do.

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T20 World Cup Qualifier

October 18 – November 2

Opening fixtures

Friday, October 18

ICC Academy: 10am, Scotland v Singapore, 2.10pm, Netherlands v Kenya

Zayed Cricket Stadium: 2.10pm, Hong Kong v Ireland, 7.30pm, Oman v UAE

UAE squad

Ahmed Raza (captain), Rohan Mustafa, Ashfaq Ahmed, Rameez Shahzad, Darius D’Silva, Mohammed Usman, Mohammed Boota, Zawar Farid, Ghulam Shabber, Junaid Siddique, Sultan Ahmed, Imran Haider, Waheed Ahmed, Chirag Suri, Zahoor Khan

Players out: Mohammed Naveed, Shaiman Anwar, Qadeer Ahmed

Players in: Junaid Siddique, Darius D’Silva, Waheed Ahmed

What is a robo-adviser?

Robo-advisers use an online sign-up process to gauge an investor’s risk tolerance by feeding information such as their age, income, saving goals and investment history into an algorithm, which then assigns them an investment portfolio, ranging from more conservative to higher risk ones.

These portfolios are made up of exchange traded funds (ETFs) with exposure to indices such as US and global equities, fixed-income products like bonds, though exposure to real estate, commodity ETFs or gold is also possible.

Investing in ETFs allows robo-advisers to offer fees far lower than traditional investments, such as actively managed mutual funds bought through a bank or broker. Investors can buy ETFs directly via a brokerage, but with robo-advisers they benefit from investment portfolios matched to their risk tolerance as well as being user friendly.

Many robo-advisers charge what are called wrap fees, meaning there are no additional fees such as subscription or withdrawal fees, success fees or fees for rebalancing.

Key developments

All times UTC 4

THE BIG THREE

NOVAK DJOKOVIC
19 grand slam singles titles
Wimbledon: 5 (2011, 14, 15, 18, 19)
French Open: 2 (2016, 21)
US Open: 3 (2011, 15, 18)
Australian Open: 9 (2008, 11, 12, 13, 15, 16, 19, 20, 21)
Prize money: $150m

ROGER FEDERER
20 grand slam singles titles
Wimbledon: 8 (2003, 04, 05, 06, 07, 09, 12, 17)
French Open: 1 (2009)
US Open: 5 (2004, 05, 06, 07, 08)
Australian Open: 6 (2004, 06, 07, 10, 17, 18)
Prize money: $130m

RAFAEL NADAL
20 grand slam singles titles
Wimbledon: 2 (2008, 10)
French Open: 13 (2005, 06, 07, 08, 10, 11, 12, 13, 14, 17, 18, 19, 20)
US Open: 4 (2010, 13, 17, 19)
Australian Open: 1 (2009)
Prize money: $125m

Scores

Day 2

New Zealand 153 & 56-1
Pakistan 227

New Zealand trail by 18 runs with nine wickets remaining

Sarfira

Director: Sudha Kongara Prasad

Starring: Akshay Kumar, Radhika Madan, Paresh Rawal 

Rating: 2/5

Conflict, drought, famine

Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.

Band Aid

Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.

ROUTE%20TO%20TITLE
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Springtime in a Broken Mirror,
Mario Benedetti, Penguin Modern Classics

 

MATCH INFO

Uefa Champions League semi-final, second leg result:

Ajax 2-3 Tottenham

Tottenham advance on away goals rule after tie ends 3-3 on aggregate

Final: June 1, Madrid

How to wear a kandura

Dos

  • Wear the right fabric for the right season and occasion 
  • Always ask for the dress code if you don’t know
  • Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work 
  • Wear 100 per cent cotton under the kandura as most fabrics are polyester

Don’ts 

  • Wear hamdania for work, always wear a ghutra and agal 
  • Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
Kanye%20West
%3Cp%3EYe%20%E2%80%94%20the%20rapper%20formerly%20known%20as%20Kanye%20West%20%E2%80%94%20has%20seen%20his%20net%20worth%20fall%20to%20%24400%20million%20in%20recent%20weeks.%20That%E2%80%99s%20a%20precipitous%20drop%20from%20Bloomberg%E2%80%99s%20estimates%20of%20%246.8%20billion%20at%20the%20end%20of%202021.%3Cbr%3EYe%E2%80%99s%20wealth%20plunged%20after%20business%20partners%2C%20including%20Adidas%2C%20severed%20ties%20with%20him%20on%20the%20back%20of%20anti-Semitic%20remarks%20earlier%20this%20year.%3Cbr%3EWest%E2%80%99s%20present%20net%20worth%20derives%20from%20cash%2C%20his%20music%2C%20real%20estate%20and%20a%20stake%20in%20former%20wife%20Kim%20Kardashian%E2%80%99s%20shapewear%20firm%2C%20Skims.%3C%2Fp%3E%0A
Neymar's bio

Total club appearances 411

Total goals scored 241

Appearances for Barca 186

Goals scored for Barca 105

LOVE%20AGAIN
%3Cp%3EDirector%3A%20Jim%20Strouse%3C%2Fp%3E%0A%3Cp%3EStars%3A%20Priyanka%20Chopra%20Jonas%2C%20Sam%20Heughan%2C%20Celine%20Dion%3C%2Fp%3E%0A%3Cp%3ERating%3A%202%2F5%3C%2Fp%3E%0A
Wicked: For Good

Director: Jon M Chu

Starring: Ariana Grande, Cynthia Erivo, Jonathan Bailey, Jeff Goldblum, Michelle Yeoh, Ethan Slater

Rating: 4/5

Punchy appearance

Roars of support buoyed Mr Johnson in an extremely confident and combative appearance

How to apply for a drone permit
  • Individuals must register on UAE Drone app or website using their UAE Pass
  • Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
  • Upload the training certificate from a centre accredited by the GCAA
  • Submit their request
What are the regulations?
  • Fly it within visual line of sight
  • Never over populated areas
  • Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
  • Users must avoid flying over restricted areas listed on the UAE Drone app
  • Only fly the drone during the day, and never at night
  • Should have a live feed of the drone flight
  • Drones must weigh 5 kg or less
Match info

Karnataka Tuskers 110-3

J Charles 35, M Pretorius 1-19, Z Khan 0-16

Deccan Gladiators 111-5 in 8.3 overs

K Pollard 45*, S Zadran 2-18

First Person
Richard Flanagan
Chatto & Windus 

Super heroes

Iron Man
Reduced risk of dementia
Alcohol consumption could be an issue

Hulk
Cardiac disease, stroke and dementia from high heart rate

Spider-Man
Agility reduces risk of falls
Increased risk of obesity and mental health issues

Black Panther
Vegetarian diet reduces obesity
Unknown risks of potion drinking

Black Widow
Childhood traumas increase risk of mental illnesses

Thor
He's a god

MATCH DETAILS

Barcelona 0

Slavia Prague 0

MATCH INFO

Iceland 0 England 1 (Sterling pen 90 1)

Man of the match Kari Arnason (Iceland)

The bio

Favourite book: Peter Rabbit. I used to read it to my three children and still read it myself. If I am feeling down it brings back good memories.

Best thing about your job: Getting to help people. My mum always told me never to pass up an opportunity to do a good deed.

Best part of life in the UAE: The weather. The constant sunshine is amazing and there is always something to do, you have so many options when it comes to how to spend your day.

Favourite holiday destination: Malaysia. I went there for my honeymoon and ended up volunteering to teach local children for a few hours each day. It is such a special place and I plan to retire there one day.

COMPANY%20PROFILE
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ASSASSIN'S%20CREED%20MIRAGE
%3Cp%3E%0DDeveloper%3A%20Ubisoft%20Bordeaux%0D%3Cbr%3EPublisher%3A%20Ubisoft%0D%3Cbr%3EConsoles%3A%20PlayStation%204%26amp%3B5%2C%20PC%20and%20Xbox%20Series%20S%26amp%3BX%0D%3Cbr%3ERating%3A%203.5%2F5%3C%2Fp%3E%0A
Lexus LX700h specs

Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor

Power: 464hp at 5,200rpm

Torque: 790Nm from 2,000-3,600rpm

Transmission: 10-speed auto

Fuel consumption: 11.7L/100km

On sale: Now

Price: From Dh590,000

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Updated: November 23, 2021, 5:01 PM