Why is the currency of Afghanistan one of the strongest in the world despite Taliban’s rule, India’s currency is only…
Afghanistan's economy may be small, but its currency remains stable due to limited imports.
Kabul: Afghanistan, considered one of the world’s poorest and most unstable countries, is in the headlines these days not because of war or terrorism, but because of the strength of its currency. Yes, surprisingly, the same country that has suffered from political instability and economic crisis for decades has one of the most stable currencies of the world. On a surprising note, the Afghan currency is attracting global attention as of today. Here are all the details you need to know about the Afghanistan currency.
What is the value of Afghan Afghani?
The Afghan Afghani (AFN) currency has now become stronger than the India(BHARAT)n rupee. According to the currency exchange website XE.com, 1 Afghan Afghani = Rs 1.33 India(BHARAT)n rupees, meaning that earning 100,000 Afghanis in Afghanistan is equivalent to approximately ₹1.33 lakh in India(BHARAT), a surprising figure, especially for a country whose economy is constantly struggling.
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This strength is due to the Taliban government’s strict monetary policies. After coming to power in 2021, the Taliban banned the use of the US dollar and Pakistani rupee, virtually eliminating demand for foreign currency. They also enforced a rule that most transactions be conducted in Afghan currency.
What is the reason behind stability of Afghan currency?
Afghanistan’s economy may be small, but its currency remains stable due to limited imports, very little foreign investment, and a near-stop international trade. With nearly every domestic transaction conducted in the local currency, the Afghan Afghani’s value remains stable rather than falling—this is the biggest reason for its strength.
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