US allows transactions with Afghan govt

AFP, Washington

The United States on Friday issued new rules that would allow most commercial and financial transactions with Afghanistan while maintaining sanctions against the Taliban, in an effort to ease the flow of humanitarian aid and kickstart the paralyzed economy.

Non-governmental organizations and financial institutions have expressed concerns about running afoul of US sanctions targeting the Islamist hardliners in power in Kabul -- but that has meant a near-halt to all economic activity.

The United Nations has warned that the country is facing a  "devastating" humanitarian crisis, with more than half of the country's population of roughly 38 million at risk of suffering food shortages.