Afghanistan food prices soar despite falling dollar, straining import-dependent economy

Although the dollar has weakened in domestic markets over the past nearly seven months and is currently trading at around 65 afghanis per dollar, essentials such as flour, rice, and cooking oil have recorded sharp increases, defying public expectations.

Citing data accessed by Tolo News, the report said prices of key commodities have climbed by between 100 afghanis and more than 1,000 afghanis, even as the exchange rate declined.

Haroon, a shopkeeper, said, "This has had a major impact. People who used to buy a seer now buy only a kilo. People can't afford it. When prices go up, sales go down."

Meanwhile, Da Afghanistan Bank has maintained that the afghani remains among the most stable currencies in the region due to cautious monetary management, Tolo News reported.

Hasibullah Nouri, spokesperson for the central bank, said, "Through the implementation of prudent and balanced monetary policies, increased exports, greater transparency, prevention of drug trafficking, and promotion of the afghani, the central bank has helped strengthen the stability of the national currency."

Despite these assurances, rising costs have intensified pressure on households, particularly low-income families struggling to meet daily needs.

Raz Mohammad, a Kabul resident, said, "Prices are very high, and poor people cannot afford them. A poor person cannot buy rice or cooking oil."

Another resident, Fahim, added, "Prices must be controlled. Purchasing power is low, and we are facing many difficulties."

The Chamber of Commerce and Investment, however, said price hikes cannot be attributed solely to currency movements and stressed that steps are being taken to stabilise markets, according to Tolo News.

Mohammad Wali Amini, acting head of the Chamber of Commerce and Investment, said, "Through the private sector, the Chamber of Commerce is making serious efforts to ensure sufficient availability of food and essential goods. These items are currently available in markets, and we will continue comprehensive efforts, in cooperation with the government, to help control prices."

Nevertheless, Tolo News noted that ongoing import and transit constraints continue to weigh heavily on vulnerable families who depend on daily wages, making basic survival increasingly difficult under current conditions. (ANI)