Financial Crime World

Foreign Influence Still Strong in Afghanistan Despite Taliban Takeover

Economic Disruption and Criminal Activity

KABUL, AFGHANISTAN - Despite the Taliban’s takeover of Afghanistan, foreign actors continue to exert significant influence over the country’s economy, politics, and daily life. The private sector, which is mainly involved in agriculture, transportation, storage, communications, construction, and food production, has been disrupted by crises affecting the economic landscape. As a result, many legal businesses have turned to illegal activities, including illicit mining and arms trafficking.

Criminal Markets and Ties to Central Asia, Iran, and Pakistan

Factions of the Taliban, as well as other non-Taliban criminal structures like Islamic State-Khorasan (ISK) and warlords, continue to operate in various criminal markets. These groups are believed to control the heroin and illicit mining markets, among others, and have ties to Central Asia, Iran, and Pakistan.

Taliban Leadership Challenges

The Taliban’s leadership has been challenged by internal tensions, including ethnic and political differences, as well as power struggles. The group has also struggled to form a government amid uncertainty and fear in some regions.

International Response and Aid Suspension

International organizations and countries have suspended or reduced aid to Afghanistan following the Taliban takeover. No foreign country or international organization has officially recognized the Taliban government, although some have engaged in diplomatic talks with the group.

Judicial System and Human Rights Concerns

The country’s judicial system is now under Taliban control, with many judges, prosecutors, and other staff members having been replaced by fighters who lack legal education or experience. Human rights groups have expressed concern over the treatment of women, minorities, and other marginalized groups.

Territorial Integrity and Cyber-Criminal Activity

Afghanistan’s territorial integrity remains weak, with international militant groups still using the country for recruitment and training. The country is also vulnerable to cyber-criminal activity and regional interference.

Financial Intelligence Unit and Money Laundering Concerns

The national Financial Intelligence Unit has halted its operations, leaving the country vulnerable to money laundering and terrorist financing. International concerns about money laundering are further complicating the country’s economic regulatory environment.

Economic Challenges and Private-Sector Development

Afghanistan’s economy is in free fall, with international aid having been withdrawn following the Taliban takeover. Private-sector development and expansion have been limited by insecurity, political instability, weak institutions, inadequate infrastructure, widespread corruption, and a difficult business environment.

Humanitarian Concerns and Shelter Closures

The Taliban has decreased efforts to protect victims of crime, with many shelters for victims having been closed. The group has also increased raids in areas favored by drug users, forcing them into government-run rehabilitation centers with limited resources.

NGOs and Civil Society Actors

NGOs with links to foreign countries have been forced to halt their operations, and many civil society actors have faced violence and detention. Women NGO workers and journalists have been specifically targeted and threatened, and the country’s press freedom has declined dramatically since the takeover.

Taliban Commitment to Islamic Law

Despite these challenges, the Taliban remains committed to governing in accordance with Islamic law, although its leadership has not introduced any legislation or legal framework to address organized crime.