New era for Afghanistan starts with long queues, rising prices

By James Mackenzie

(Reuters) – As Kabul began a new era of Taliban rule, long queues outside banks and soaring prices in the bazaars underlined the everyday worries now facing its population after the spectacular seizure of the city two weeks ago.

For the Taliban, growing economic hardship is emerging as their biggest challenge, with a sinking currency and rising inflation adding misery to a country where more than a third of the population lives on less than $2 a day.

Even for the relatively well-off, with many offices and shops still shut and salaries unpaid for weeks the daily struggle to put food on the table has become an overwhelming preoccupation.

“Everything is expensive now, prices are going up every day,” said Kabul resident Zelgai, who said tomatoes which cost 50 afghani the day before were now selling for 80.

In an effort to get the economy moving again, banks which closed as soon as the Taliban took Kabul have been ordered to re-open. But strict weekly limits on cash withdrawals have been imposed and many people still faced hours of queuing to get at their cash.

Outside the city, humanitarian organizations have warned of impending catastrophe as severe drought has hit farmers and forced thousands of rural poor to seek shelter in the cities.

People huddling in tent shelters by roadsides and in parks are a common sight, residents said.

In a cash-based economy heavily dependent on imports for food and basic necessities and now deprived of billions of dollars in foreign aid, pressure on the currency has been relentless.

The afghani was recently valued at around 93-95 to the dollar in both Kabul and the eastern city of Jalalabad, compared with around 80 just before the fall of the city. But the rate is only an indicator, because normal money trading has dried up.

In the Pakistani city of Peshawar, close to the border, many money traders are refusing to handle the Afghan currency, which has become too volatile to value properly.

Only the sheer scarcity of cash has kept it from falling further, with international shipments of afghanis and dollars yet to resume.

“In the bazaar you can exchange for a bit over 90 but it goes up and down because it’s not official,” said one trader. “If they open the exchanges again it will go up over 100, I’m sure of it.”

STRUCTURAL PROBLEMS

The fall in the exchange rate has seen prices for many basic foodstuffs ratchet up daily, squeezing people who have seen their salaries disappear and their savings put out of reach by the closure of banks.

Kabul market traders said a 50 kg bag of flour was selling for 2,200 afghanis, around 30% above its price before the fall of the city, with similar rises for other essentials like cooking oil or rice. Prices for vegetables were up to 50% higher, while petrol prices were up by 75%.

Remittances from abroad have also been cut off by the closure of money transfer operators like Western Union, and increasing numbers of people have been trying to sell jewelry or household goods, even if they have to accept a fraction of their value.

“Two weeks ago, people were buying but the situation now is not good and no one is buying,” said one vendor. “People’s money is stuck in the banks and no one has money to buy anything.”

Taliban officials have said the problems will ease once a new government is in place to restore order to the market and have appealed to other countries to maintain economic relations. But the structural problems run deep.

Even when its economy was floating on a tide of foreign money, growth was not keeping pace with the rise in Afghanistan’s population.

Apart from illegal narcotics, the country has no significant exports to generate revenue, and aid, which accounted for more than 40% of economic output, has abruptly disappeared.

A new central bank chief has been appointed but bankers outside Afghanistan said it would be difficult to get the financial system running again without the specialists who joined the exodus out of Kabul.

“I don’t know how they will manage it because all the technical staff, including senior management, has left the country,” one banker said.

In a sign of the pressure on Afghanistan’s currency reserves, the Taliban have announced a ban on taking dollars and valuable artefacts out of the country and said anyone intercepted would have their goods confiscated.

Some $9 billion in foreign reserves is held outside the country and out of reach of the Taliban’s embryonic government, which has still not been officially appointed, let alone recognized internationally.

To add to the problems, a recent suicide attack by an Afghan offshoot of Islamic State on crowds waiting to get a place on evacuation flights brought a chilling reminder that the bombings that were a regular feature of life in the past may not be over.

“The market situation had slightly improved in the last few days,” said one vendor at a Kabul street market where people sell household goods to raise cash. “But it completely collapsed after the suicide attack near the airport.”

(James Mackenzie reported from Milan; Additional reporting by Islamabad bureau and Tom Arnold in London; Editing by Mike Collett-White)

‘We don’t give up really easy’: Navajo ranchers battle climate change

By Stephanie Keith and Andrew Hay

CEDAR RIDGE, Ariz. (Reuters) – Two decades into a severe drought on the Navajo reservation, the open range around Maybelle Sloan’s sheep farm stretches out in a brown expanse of earth and sagebrush.

A dry wind blows dust across the high-desert plateau, smoke from wildfires in Arizona and California shrouding the nearby rim of the Grand Canyon.

The summer monsoon rains have failed again, and stock ponds meant to collect rainwater for the hot summer months are dry.

With no ground water for her animals, Sloan, 59, fills an animal trough with water from a 1,200-gallon white plastic tank. She and her husband, Leonard, have to pay up to $300 to have the tank filled as her pickup truck has broken down. When it’s working, she hauls water herself every two days, spending $80 a week on fuel.

The cost of hauling water has made their ranch unprofitable.

The Navajo Nation – covering a 27,000 square mile area straddling the U.S. states of Arizona, New Mexico and Utah — competes with growing cities including Phoenix and Los Angeles for its water supply.

And as climate change dries out the U.S. West, that supply is becoming increasingly precarious.

In decades past, “we got rain every year around June, July, August,” said Leonard Sloan. The 64-year-old rancher pointed toward the dry ponds in the ground near a local butte named Missing Tooth Rock. “When we had that storm, there would be water and they would be full. And now due to global warming, we don’t get no rain, just a little.”

To keep their ranch alive the Sloans have to get water, which is free, from the sole livestock well in the area some 15 miles to the east.

They spend between $3,000 and $4,000 a year on hay to supplement their animals’ feed as the open range no longer produces enough grass to sustain them.

Maybelle has cut her sheep herd down to 24 head, and Leonard tells her to get rid of them and her 18 goats to focus on their 42 cattle, which bring more money at market.

But Maybelle bristles at the thought of giving up sheep herding learned from her mother, and grandmother before her. Maybelle’s mother, father and sister all died in April from coronavirus.

“I’m doing it for my parents,” Maybelle said, wiping tears away as she sat on the metal railing of a corral while her cattle licked salt blocks and drank water.

GRADUAL DISASTER

The Sloans remember grass growing as high as the belly of a horse as recently as the 1980’s.

But drought conditions on the reservation have become largely relentless since the mid-1990’s.

Annual average temperatures rose by 1.4 degrees Fahrenheit in the reservation’s Navajo County area over the 100 years to 2019, according to National Oceanic and Atmospheric Administration data.

The months of June to August this year were the driest on record in the area for the three-month period, according to drought monitoring data studied by climate scientist David Simeral of the Desert Research Institute in Nevada. Three of the five driest July-August rainy seasons in the area have occurred since the late 1990’s.

The warming trend has prompted desertification, with sand dunes now covering about a third of the reservation, according to the U.S. Geological Survey (USGS).

All but one of the reservation’s rivers have stopped running year-round, said Margaret Redsteer, a scientist at the University of Washington in Bothell.

“That’s the really tricky thing about droughts, and climate change is like that too,” Redsteer said. “It’s a gradual disaster.”

DETERMINED PEOPLE

On paper, the Navajo Nation has extensive water rights based on the federal “reserved rights” doctrine which holds that Native American nations have rights to land and resources in treaties they signed with the United States.

In practice, the Navajos and other tribes were left out of many 20th century negotiations divvying up the West’s water.

There are signs some of the next generation are keeping up ranching traditions.

Some youths simply help their grandparents haul water each day from the sole well for livestock in the Bodaway-Gap area. Still others, including Maybelle’s children, send money from their work off the reservation to help fund their families’ ranches.

“Us Indians, we don’t give up really easy,” Maybelle said. “We’re really determined people.”

(Reporting by Stephanie Keith and Andrew Hay; Editing by Lisa Shumaker)

Thirst turns to anger as Australia’s mighty river runs dry

Thirst turns to anger as Australia’s mighty river runs dry
By Tracey Nearmy

MENINDEE, Australia (Reuters) – Reduced to a string of stagnant mustard-colored pools, fouled in places with pesticide runoff and stinking with the rotting carcasses of cattle and fish, the Darling River is running dry.

The parched earth of Australia’s longest waterway, if tributaries are included, is in the grip of the continent’s most severe drought in a century. At Menindee, 830 km west of Sydney, despair has turned to anger as residents blame the government for exacerbating the drought by drawing down river water in 2017 for irrigation and other uses downstream.

Locals now avoid using tap water for drinking and washing babies and children, saying it has caused skin irritation, and prefer boxed and bottled water instead.

“That was our food source, the river, our water source. That was our livelihood,” said Aboriginal elder Patricia Doyle, in her backyard piled with flotsam discovered in the now-exposed riverbed.

“When you live on a river and you have to have water brought into your town to drink and survive on, what’s that saying? It’s saying that our system … isn’t looked after properly.”

The past two years have been the driest in the catchment area of the Darling, which flows 2,844 km (1,767 miles) over the outback to the sea, and adjoining Murray river since records began in 1900.

Drought is weighing on economic growth, and the dire conditions have prompted Australia, a major wheat exporter, to import the grain for the first time in 12 years.

Last summer was the hottest on record, and in Menindee, where temperatures regularly top 38 Celsius (100 Fahrenheit), another scorching season is expected.

The government has set up a panel to evaluate water management and ordered its anti-trust watchdog to investigate trading in irrigation rights.

‘THE RIVER SHOULD BE FLOWING’

Doyle’s clan is called the Barkindji, or people of the river, and in Aboriginal language, the Darling is called the Barka.

The river is at the heart of stories about the origins of the clan and its cultural life, particularly evident in Menindee where a third of 550 residents are indigenous, compared with a national average of less than 3%.

Lined with river red gums, the Darling also waters some of Australia’s richest grazing land, and until the construction of railways in the early 20th century, was the main route used to take wool and other goods to market.

All aspects of society are now suffering. “The river country itself, it doesn’t provide as much as what it used to,” says Kyle Philip, a Barkindji hunter and goat musterer.

Parents have forbidden children from swimming in the murky water that remains. Fish caught in holes still deep enough to hold water are inedible.

“We could taste the mud in the meat of the perch,” said Philip. “We couldn’t really eat them.”

Recently, Aboriginal communities held special festivals along the river “to heal the Barka”. Ochre-painted dancers performed around fires at dusk, revering the river but also seeking to draw attention to its plight.

“We’re going to start dancing and singing the land,” organizer Bruce Shillingsworth said. “Singing the rivers, singing our environment back again to make it healthy.”

And in the Anglican church at Menindee, there are prayers. “The river should be flowing,” said Reverend Helen Ferguson.

“When that river flows, the people are just abuzz and the whole town just comes to life. But that hasn’t happened for some time now and my prayer is that people don’t get worn down through that.”

(Reporting by Tracey Nearmy in Menindee. Writing by Tom Westbrook; Editing by Karishma Singh)