CIVIL - MILITARY FUSION CEN TRE Afghanistan Review Week 13 30 March 2011 Comprehensive Information on Complex Crises INSIDE THIS ISSUE This document provides a weekly overview of developments in Afghanistan from 23 March—29 March 2011, with hyper-links to source material highlighted in blue and underlined in the text. For Economic Development more information on the topics below or other issues pertaining to events in Afghanistan, feel free to con- Governance & Participation tact the members of the Afghanistan Team, or visit our website at www.cimicweb.org. Humanitarian Affairs Infrastructure Rule of Law Economic Development Steven A. Zyck ► [email protected] Security Socio-Cultural Development he future of Kabul Bank, Afghani- (USAID). The leader of the task force, Deputy stan‟s embattled financial institution, Undersecretary of Defense Paul A. Brinkley, ABOUT THE CFC remains unclear following a series of resigned in response to this institutional shift. T contradictory statements by officials from the Several key members of his 100-person team The Civil-Military Fusion Centre country‟s Ministry of Finance (MoF) and Cen- then followed suit. Brinkley and others believe (CFC) is an Information and tral Bank. The Washington Post cited the Dep- that USAID does not have the institutional Knowledge Management uty Minister of Finance as saying that the Af- culture, flexibility or approach to develop the organisation focused on ghan government had agreed to place Kabul sort of business deals which the task force has improving civil-military interaction, Bank into receivership, which would involve focused upon. A group of US legislators re- facilitating information sharing and an outside firm taking control of the institution portedly moved Brinkley's task force from enhancing situational awareness and attempting to collect on outstanding loans DoD to USAID given the belief that major through the CimicWeb portal. before selling off the bank‟s assets. Both the civilian efforts related to reconstruction and International Monetary Fund (IMF) and US development in Afghanistan belonged within CFC products are developed with government have pressed for this decision, civilian agencies such as USAID and the State open-source information from a while the Afghan government previously ex- Department rather than the DoD. wide variety of organisations and pressed its desire to rehabilitate the bank and Pajhwok Afghan News cites officials from media sources. put it up for sale in approximately three years time. Afghanistan‟s Ministry of Finance (MoF) who The CFC is represented in Kabul by note that government revenues were up by Contradicting The Washington Post article, 25% between SY 1388 (2009/10) and SY a Forward Military Liaison Officer, Agence France-Presse cited officials from 1389 (2010/11). In the fiscal year ending on Maj. Gary Evans, who is embedded Afghanistan‟s Central Bank as saying that no 20 March 2011, the Afghan government col- within ISAF. decision regarding Kabul Bank had been lected AFN 80 billion (USD 1.86 billion), thus made. According to the Associated Press, a exceeding the IMF target of AFN 75 billion By design, CFC products or links to final decision regarding the bank will come (USD 1.74 billion). independently produced articles do from Afghanistan's Financial Disputes Resolu- not necessarily represent the tion Commission (FDRC). The law establish- Tolo News reports that American soldiers have opinions, views or official position ing the FDRC indicates that the Commission been formally charged with embezzling ap- of any other organisation. was primarily intended to adjudicate appeals proximately USD 1.3 million while stationed of decisions made by the Central Bank or dis- in Afghanistan in 2009. The two soldiers . CONTACT THE CFC putes between private banks. Currently, the worked in the finance department at Camp Afghan government‟s plans for Kabul Bank Eggers in Kabul, where they collaborated with For further information, contact: remain unclear. an Afghan colleague to steal the money, which was owed to a company helping to equip the Afghanistan Team Manager A US Department of Defense (DoD) task Afghan National Security Forces (ANSF). Valeria Davanzo force on promoting business and private- [email protected] The Asian Development Bank (ADB) is pro- sector development in Afghanistan appears to be at risk of collapsing, says The Washington viding Afghanistan's Ministry of Mines Afghanistan Editor (MoM) with support in developing the coun- Amber Ramsey Post. The task force, which has been lauded try's mineral and energy resources, says Tolo [email protected] for arranging business deals which benefit economic growth in Afghanistan (and earlier News. According to the article, the ADB has The Afghanistan Team in Iraq), is being transferred to the United allocated more than USD 220 million to im- [email protected] States Agency for International Development prove fuel and gas projects in Sheberghan in Jowzjan province. Governance & Participation Anne-Catherine Claude ► [email protected] n the latest developments regarding Afghanistan‟s parlia- Karzai‟s nominees in return for the SEC being dismantled. The mentary elections, Pajhwok Afghan News reports that Ab- article also suggests that defeated parliamentary candidates I dul Rauf Ibrahimi, the Speaker of the Wolesi Jirga (Lower might be offered a seat in the Meshrano Jirga (Upper House House of Parliament), declared that President Hamid Karzai of Parliament) or other government positions. had agreed to find a solution to ongoing controversy over the Special Election Court (SEC) this week. The discussions cor- A report by the Afghanistan Research and Evaluation Unit responded with renewed protests by defeated candidates to (AREU) entitled “Undermining Representative Governance” contest the election results, denouncing fraud in the elections states that the 2010 parliamentary elections have further dis- and requesting Karzai not to give in to pressure by parliamen- tanced the Afghan population from their government. Indeed, tarians to dissolve the SEC. According to the article, around 38 according to the findings of the study, which was carried out in current Members of Parliament (MPs) met with the president three provinces (Kabul, Paktiya and Balkh), “the elections are twice in just five days to urge him to dismantle the SEC. Ibra- being used to legitimise the control of the powerful” and “the himi further noted that the Chief Justice, who reportedly took lack of reliability in how the 2010 election was conducted has part in the meetings, promised to address the issue without exacerbated a deep distrust in election and state institutions”. delay. In the conclusion of the report, AREU claims that many tech- The disagreement over the legality of the SEC has also caused nical reforms must be undertaken ahead of Afghanistan‟s next divisions within parliament, as some MPs have rejected any scheduled elections in 2014/15 to regain the trust of the popu- lation in the political process. possible verdict by the SEC, calling on other MPs “to boycott” if any MP is unseated. Others have declared that they would Agence France-Presse reports that the Attorney General‟s Of- accept the verdict of the SEC, calling the court‟s establishment fice (AGO) announced the arrest of Noorullah Delawari, a “legal”. Tolo News further reports that according to some MPs, former governor of the Afghan Central Bank and senior eco- the SEC is expected to unseat 53 winning candidates. Earlier nomic adviser to President Karzai, on “charges of embezzle- this week, local Shamshad TV indicated that Second Deputy ment and corruption”. AFP further states that the case is linked Speaker of the Wolesi Jirga Ahmad Behzad warned that the to the arrest of the former transport Minister Inayattullah lower house would not accept any decision made by the SEC, Qasimi, who is likely to be charged with mismanagement of adding that he would use any legal instruments at his disposal public funds. According to the AGO spokesman, Amanullah to put pressure on the government to dissolve the SEC. Mean- Iman, quoted in an Associated Press article, Qasimi was while, The Killid Group suggests that Karzai has thus far been “placed in custody until the case goes before the anti- unwilling to dissolve the SEC as it provides him with leverage corruption court”. In November, about 20 senior government to gain parliament‟s approval for his future ministerial nomi- officials, including former ministers, were being investigated nees. According to the article, there are currently ongoing on corruption charges (see 17 November CFC Afghanistan closed-door discussions at the Presidential Palace that will Review, Justice and Reconciliation section), however, AFP likely lead to a political trade-off between President Karzai claims that no action has yet been taken. and MPs. Most likely, the Wolesi Jirga will have to endorse Humanitarian Affairs Erin Foster ► [email protected] early four hundred Afghan refugees who had been jority of claims made in Germany and Sweden. residing in the Khyber region of Pakistan were alleg- edly forced out of their homes and across the border The United Nations observed both World Water Day (22 N March) and World Tuberculosis Day (24 March) this past into Momand Dara district in Nangarhar province, says Pajhwok Afghan News. The families claimed that their homes week. The theme of World Water Day was „Water and Urbani- were destroyed by Pakistani security forces as they were re- zation‟, calling attention to the stresses placed on water supply portedly without legal documents. The provincial governor‟s systems by increasing urban populations and the need for wa- spokesman, Ahmad Zia Abdulzai, explained that the gover- ter and sanitation facilities to support this growth. As reported nor‟s office has requested assistance from both government last week (see 23 March CFC Afghanistan Review, Socio- departments and non-governmental agencies to support the Cultural Development section), pollution presents a challenge displaced families.