Islamic Republic of Afghanistan: Selected Issues

February 20, 2008

Summary

Fiscal sustainability is one of several policy objectives that Afghanistan is expected to achieve in the context of the Poverty Reduction Growth Facility-supported program. There is a need to develop a comprehensive financial sector strategy aimed at deepening financial intermediation and reducing key vulnerabilities. The aim of this paper is to analyze the conduct of monetary and exchange rate policy in Afghanistan. This paper also discusses the current monetary policy framework in Afghanistan, reviews its implementation, and recommends measures to improve its effectiveness.

Subject: Banking, Budget planning and preparation, Commercial banks, Exchange rates, Expenditure, Financial institutions, Foreign exchange, Public financial management (PFM)

Keywords: Afghanistan, Budget planning and preparation, camel rating, Commercial banks, core development budget, cost, CR, DAB, DAB notification, Exchange rates, expenditure rigidity, expenditure structure, force expenditure cut, ISCR, obligations knowing, operating budget

Pages:
32
Volume:
2008
DOI:
https://doi.org/10.5089/9781451800340.002
Issue:
071
Series:
Country Report No. 2008/071
Stock No:
1AFGEA2008001
ISBN:
9781451800340
ISSN:
1934-7685

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