Connect with us

Latest News

World Bank predicts Afghan economic growth 3.3% this year

Published

on

Afghanistan’s economy grew by an estimated 2.9 percent in 2019, driven mainly by strong agricultural growth following recovery from drought, but lingering political uncertainty dampens private confidence and investment, says the World Bank.

Released today, “Navigating a Sea of Uncertainty”, the latest edition of the twice-a-year Afghanistan Development Update examines recent key economic developments and focuses on the impacts of current uncertainties around the outcome of the September 2019 presidential election, levels of future international civilian and security support, and the prospect of a peace agreement with the Taliban. The Update also includes a special topic reflecting on achievement of development outcomes since 2001.

“Growth picked up in Afghanistan in 2019. This is good news, but insecurity and political uncertainty are holding back the Afghan economy,” said World Bank Country Director for Afghanistan Henry Kerali. “Afghanistan needs to ramp up the pace of reforms to generate faster growth necessary to improve the living standards of its people and reduce poverty.”

The report notes that as drought impacts further recede and private sector confidence improves following the conclusion of the presidential election, growth is expected to accelerate to 3.3 percent in 2020. Over the medium-term, growth is projected to hover around 4 percent provided that the security situation does not further deteriorate and that international aid support continues. Growth prospects are subject to other significant downside risks, including further political instability, unexpected cuts in foreign aid, and adverse regional developments.

Domestic revenue collection reached a new high of 14.5 percent of GDP in 2019, up from 13.3 percent in 2018. Strong revenue performance reflected both progress in establishing a robust tax system and substantial one-off revenues, including transfers from the Da Afghanistan Bank.

The potential for much-faster growth exists but remains dependent on continued support from the international community and the Afghan government’s commitment to pushing business environment and anti-corruption reforms, the report says.

“The international community needs to maintain its support to Afghanistan over the medium-term to sustain the country’s recent development progress and help realize its long-term growth and self-reliance prospects. In this effort, the Afghan government needs to assure its international partners that progress is being made on governance and that aid resources are used efficiently,” said Kerali.

To improve confidence in the short-term, the Development Update notes the need for Government to accelerate improvements in the business environment and anti-corruption reforms.

Latest News

Afghanistan must become a co-author of regionalization processes in Central Asia: Vakhabov

Published

on

Afghanistan should be recognized as a full participant in shaping Central Asia’s future rather than being viewed as a peripheral state, Javlon Vakhabov, Director of the International Institute for Central Asia (IICA), said during the first Central Asia–Afghanistan Think Tank Forum held in Kabul.

The forum organized by the Center for Strategic Studies of Afghanistan, brought together heads of leading think tanks, policymakers, researchers, and business representatives from Central Asian countries, Azerbaijan, and Afghanistan to discuss regional cooperation and integration.

Vakhabov stressed that Afghanistan’s stability and economic recovery are closely linked to the future of Central Asia, arguing that the country should become a “co-author” of regional integration rather than remain on the sidelines.

He said major infrastructure initiatives—including the Trans-Afghan Transport Corridor, the Turkmenistan–Afghanistan–Pakistan–India (TAPI) gas pipeline, the TAP power transmission project, and the CASA-1000 electricity project—could transform Afghanistan from a transit route into an active participant in regional production, industry, and economic development.

On water and climate cooperation, Vakhabov underscored the need to establish legal and institutional frameworks that include Afghanistan. He also called for continued dialogue on the Qosh Tepa Canal, regular technical consultations, data sharing, joint monitoring, glacier research, and the development of regional early warning systems.

Continue Reading

Latest News

Haqqani, Qatari envoy hold talks on expanding bilateral relations

Published

on

Khalifa Sirajuddin Haqqani, Minister of Interior Affairs, held talks with Mirdif Al-Qashouti, Qatar’s ambassador to Kabul, on expanding bilateral relations between Afghanistan and Qatar, regional developments, and strengthening Afghanistan’s engagement with the international community.

According to the Afghan Ministry of Interior, Haqqani praised Qatar’s constructive role in supporting Afghanistan’s engagement with the international community and thanked Doha for its continued cooperation.

The two sides also discussed security cooperation and joint efforts to combat drug trafficking.

Continue Reading

Latest News

China resumes work on highway project in Tajikistan close to Afghan border

Published

on

Chinese workers have resumed construction on a key highway project in Tajikistan near the border with Afghanistan after a months-long suspension prompted by security concerns, according to Eurasianet.

Officials from Tajikistan’s Ministry of Transport confirmed that work has restarted on a 109-kilometre section of the Dushanbe–Kulma highway.

Construction reportedly resumed in April after authorities assured Beijing that additional security measures would be put in place to protect Chinese personnel involved in the project.

The project had been paused in late 2025 after China advised its citizens to withdraw from border regions following a series of violent incidents.

The advisory followed an attack in November on a road construction crew that left two people dead and two others injured. In a separate incident later that year, three Chinese nationals were also killed.

Tajik authorities initially attributed both attacks to militant groups, though those claims have not been independently verified.

According to the report, Chinese workers currently on site are being protected by Tajik special forces. Tajikistan’s Defence Ministry has also indicated that joint military exercises between Tajik and Chinese forces are expected to take place in September.

The renewed construction and security cooperation come after the signing of a Treaty of Friendship between Tajikistan and China in May, which paved the way for agreements worth around $8 billion involving Chinese entities.

Continue Reading
Advertisement
Advertisement
Advertisement
Advertisement

Trending

Copyright © 2025 Ariana News. All rights reserved!


Warning: Undefined array key "slug" in /var/www/vhosts/ariananews.af/httpdocs/wp-includes/class-wp-theme-json.php on line 2117

Warning: Undefined array key "slug" in /var/www/vhosts/ariananews.af/httpdocs/wp-includes/class-wp-theme-json.php on line 2117

Warning: Undefined array key "slug" in /var/www/vhosts/ariananews.af/httpdocs/wp-includes/class-wp-theme-json.php on line 2117