Taliban Calls For Equal Access To Credit Guarantee Services Across Afghanistan

The Taliban-run central bank has urged the Afghanistan Credit Guarantee Foundation to provide its services equally across the country without discrimination.

The Taliban-run central bank has urged the Afghanistan Credit Guarantee Foundation to provide its services equally across the country without discrimination.
In response, officials from the Afghanistan Credit Guarantee Foundation asked the Taliban central bank to provide the necessary facilities to expand support for small and medium-sized enterprises.
The Taliban central bank said on Monday, 20 July, that its deputy governor, Sediqullah Khalid, met Dirk Joseph Thyssen, deputy head of the Afghanistan Credit Guarantee Foundation, in Kabul.
According to the bank’s statement, the two sides discussed facilitating small guarantees, increasing grants and expanding technical cooperation.
The central bank said the meeting also focused on effective measures to improve citizens’ access to small and medium-sized financing.
The Afghanistan Credit Guarantee Foundation is a non-profit development organisation established to support Afghanistan’s private sector. Its main role is to provide credit guarantees to banks and financial institutions so that micro, small and medium-sized businesses can more easily access loans.
Thyssen asked the Taliban central bank to provide the necessary facilities to expand financing for small and medium-sized institutions.
He also called for greater technical cooperation between the central bank and financial institutions, the implementation of joint programmes and the signing of memorandums of understanding to strengthen bilateral cooperation.
The Afghanistan Credit Guarantee Foundation does not lend directly to individuals or companies. Instead, it provides guarantees to banks so they can offer loans to businesses.
The foundation was established in 2014 with support from the German government, building on a programme launched in 2004 with backing from Germany and the United States to improve Afghan businesses’ access to bank credit.
The Taliban central bank said both sides stressed the importance of continued cooperation to expand financial inclusion, support the private sector and further strengthen Afghanistan’s financial and banking sectors.