Airlines Face Overflight Payment Risks as Planes Divert Over Afghanistan
Airlines are using third-party intermediaries to make payments to Afghan authorities, increasing the risk of legal disputes and money laundering. The Taliban stands to make millions from the surge in overflights, but the process of making these payments is complicated by frozen government bank accounts overseas and Western sanctions on Taliban leaders. Industry experts point to risks of illicit financial flows and raised questions about the administrative resources required to invoice and collect payments.
- The increasing reliance on intermediaries to facilitate overflight payments may highlight a broader issue with global supply chains, where timely delivery of parts is crucial for meeting production goals.
- How will the complexities of international transactions in conflict zones impact global economic stability in the coming years?