Kabul Bank to be split

The Afghan Central Bank has only recouped $47 million of the over $900 million in loans that were issued by Kabul Bank. The Afghan Central Bank said yesterday, that the Kabul Bank will be broken into two parts, to isolate bad loans, and create a new bank that will be able to guarantee customer's deposits. Last year, there was a near collapse of Kabul Bank, which is the nation's largest financial institution; and there was a government takeover. The bank will be privatized and renamed New Kabul Bank. The Afghan government is going to try and recoup the rest of the loans, and if someone doesn't cooperate, their property will be seized by court order.