The Money Exchange Dealers of Kabul: A Study of the Hawala System in Afghanistan

'The Money Exchange Dealers of Kabul' is an exploratory piece of research on how the informal financial sector operates in conflict-afflicted countries. This paper presents the findings, analyses and conclusions of a study on the operational characteristics of an informal funds transfer system found in Afghanistan, generally referred to as hawala. It describes the system's geographic characteristics, convenience, effectiveness, cost, and its relationship with the formal financial system. It stud…