Afghanistan’s central bank, Da Afghanistan Bank, has approved a new law on exchange and monetary services, which could affect dozens of small money-changing businesses across the country.
The new Exchange and Money Services Law stipulates that no one can provide money services, which include Hawala – an informal money transfer system, without a license.
According to a statement issued by the central bank, businesses that are licensed will benefit from more facilities and action will be taken against illegal businesses.
This is the latest step by the Islamic Emirate to bring banking and money-related laws in line with Sharia in the country.
Two years ago, the central bank banned online foreign exchange trading, declaring it “illegal” in Islam and warned that anyone engaging in it would face prosecution.
Also in 2022, the central bank banned cryptocurrency trading – also on the grounds of it being sinful.
