People receive relief assistance donated by a local philanthropist in Nahr Shahi district of Balkh province, Afghanistan, Nov. 21, 2021.Photo:Xinhua

The World Bank's board has backed transferring $280 million from a frozen trust fund to two aid agencies to help Afghanistan cope with a brewing humanitarian crisis after the US withdrawal, two sources familiar with the matter said on Wednesday.

The 31 donors to the World Bank-administered Afghanistan Reconstruction Trust Fund (ARTF) must approve the transfer before the funds could flow to the World Food Programme and UNICEF, the sources said. 

The World Bank board met informally Tuesday to discuss transferring up to $500 million of the $1.5 billion in the ARTF to humanitarian aid agencies, people familiar with the plan previously told Reuters.

Afghanistan's 39 million people face a catering economy, a winter of food shortages and growing poverty three months after the Taliban seized power as the last US troops withdrew from 20 years of war.

Afghan experts have said the aid would help, but big questions remain, including how to get funds into Afghanistan without exposing any financial institutions involved to US sanctions.

While the US Treasury has provided "comfort letters" assuring banks that they can process humanitarian transactions, concern about US sanctions continues to prevent passage of even basic supplies, including food and medicine.

Any decision to redirect ARTF money requires the approval of all its donors, of which the US has been the largest.

The White House and the Treasury had no immediate comment on the World Bank board's endorsement of transferring the funds to the World Food Programme and UNICEF.

Reuters