Economic Story of Afghan Currency Afghani

The Afghanistan currency is called as the Afghani. The first Afghani (ISO 4217 code: AFA) was introduced in 1925.The Afghani currency is divided into 100 pul but in actual fact the pul coins are not in circulation anymore. This means all coins and banknotes are denominated in the Afghani. The coins are the 1, 2 and 5 Afghani coins. We will also see the 10, 20, 50, 100, 500 and 1,000 Afghani notes. The currency is generally shortened to Afs.US dollar is widely accepted in the country.

The rate of conversion from the rupee is sometimes quoted as 1 Afghani = 1 rupee 6 paisa, based on the silver contents of the last rupee coins and the first Afghani coins.Initially the Afghani contained 9 grams of silver.

There is an ATM at the Intercontinental Hotel and the Kabul City Center Mall. But it is dangerous to use an ATM, because they may be watched by criminals. Make sure you have a driver waiting and take precautions. Credit cards are not accepted in this country because still Afghan banks are not issuing credit cards to their bank holders.

Central banks of Afganistan is the largest bank in Afganistan. It is founded in 1938. It had the responsibility of issuing bank notes, executing government loans and lending money to other banks

Afganistan Government nationalized all the private banks in 1975. But continuous strife has been led to most of the banks stopping their works. Also the Stock market and the other economical progress have not developed in this country.

If you were to visit the country today you would use the new Afghani currency. The old one was in use until 2003, with the new one coming into circulation.

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