The western Afghan city of Herat has become a thriving hub for the money exchange business, a consequence of geography and politics. Money-changers throng the currency market carrying thick stacks of Iranian currency, much of it brought in by the hundreds of thousands of Afghan workers who earn their living in Iran.
While the stacks of crisp 100,000 rial notes that money-changers bring to the market might look like a small fortune, the 10 million rials in each of these stacks is worth less than $400, because the Iranian currency recently lost more than half of its value.
According to Bloomberg, President Obama and Mitt Romney have aired nearly 30,000 TV spots addressing the issue of trade with China, and that's just in the past month. Many of those ads aired in Ohio where both candidates are spending a lot of time. NPR's Sonari Glinton explains the Ohio-China nexus.
SONARI GLINTON, BYLINE: If there's a boogeyman in the Ohio presidential sweepstakes, it's China.
There may be international sanctions against Iran, but not in Afghanistan's border provinces with the Islamic Republic where trade and money-laundering are thriving. Every day, millions in Iranian currency are brought in by taxis ferrying passengers. The Iranian money is exchanged for dollars, which are then shipped back to Iran. American officials recently ordered the Afghan banks to crack down on this phenomenon and it appears to be having some effect.