The World Bank withheld $200 million of its pledged contribution to Afghanistan citing lack of access to Afghan banking data and inconsistencies in recently approved Public-Private Partnership (PPP) procedures, Tolonews reported. 

In a letter to Afghan President Ashraf Ghani on 23 November, the World Bank informed the Afghan government about its decision of withholding funds. The World Bank had pledged $600 million to incentivize the Afghan budget during the recently held Gevena Conference. 

Out of the total blocked funds, $180 million is associated with the lack of access to banking data; the rest $20 million has to do with PPP procedures. 

The global lender argued they have “obligated to assess and confirm the adequacy of microeconomic policy framework” of a recipient country prior to disbursing funds. It further added, such an assessment can only be possible if the institution is provided with access to a range of basic banking data. 

“Unfortunately, we have not been able to obtain banking sector data from Da Afghanistan Bank (DAB) despite several written requests.” reads the letter as reported by TOLOnews. The data, World Bank seeks, is not sensitive and has been shared in the past as well, the letter argued. 

The World Bank also flagged the issue of inconsistencies, that they have forewarned the government about, in the Private Investment Management regulations (PIM) and the recently approved Public-Private Partnership (PPP) amendments. 

The Afghan government, going against the written advice of the World Bank and IMF, transferred the management authority of PPP to the Administrative Office of the President from the Ministry of Finance. 

Until the inconsistencies resolve, the letter said, “we will be unable to disburse $20 million associated with the approval of PIM regulations.” The World Bank, however, added the rest of $180 million would be given as soon as the banking sector data is shared with them.