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Cotton cultivation increases in Helmand after poppy ban

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More areas of land have been cultivated with cotton in southern Helmand province after the Islamic Emirate of Afghanistan (IEA) imposed a ban on poppy cultivation.

Last year, a total of 13,174 hectares of land were cultivated with cotton, but this year it has increased to 15,730 hectares, according to local officials.

Pests and drought, however, have affected cotton harvest this year.

“This year, 15,370 hectares of agricultural land were cultivated with cotton, which is higher than last year; but this this year’s harvest is lower due to pests and drought,” said Mohammad Nasim Muslim, promotion manager of the provincial directorate of agriculture, irrigation and livestock.

Local residents also said that cotton price and demand are good this year, but pests and drought have affected cotton harvest.

“This year, there is no poppy that is why more cotton has been cultivated. Cotton has good price and market, but farmers may not cover their expenses because harvest is low this year,” said Mohammad Hussain, a local resident.

There are 35 cotton processing factories in Helmand.

“If these factories process the entire cotton harvest of this year, we could supply three provinces with oil, eight provinces with cottonseed meal and 10 provinces with soaps,” said Ghulam Yahya Pakhtun, head of Helmand Chamber of Commerce.

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Envoys meet in Tehran, urge Kabul and Islamabad to resolve disputes through dialogue

The special representatives reviewed political and security developments in Afghanistan and emphasized the importance of a region-centered approach to addressing the country’s challenges.

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Special envoys on Afghanistan from Iran, Pakistan, China, Russia, Tajikistan, Uzbekistan and Turkmenistan met in Tehran this week and voiced support for efforts aimed at easing rising tensions between Afghanistan and Pakistan.

They also called on both sides to resolve their differences through talks.

In a joint statement, the envoys expressed readiness to help strengthen initiatives that promote dialogue and urged Kabul and Islamabad to return to negotiations and settle disputes through diplomatic means.

The meeting also reiterated opposition to any foreign military presence in Afghanistan and stressed the responsibility of the international community to lift sanctions and release Afghanistan’s frozen assets.

Envoys reviewed the latest political and security developments in Afghanistan and emphasized the importance of regional convergence and a region-centered approach to addressing the country’s challenges.

The statement underlined the need to strengthen stability in Afghanistan and said participating countries stand ready to provide assistance if requested by the Afghan side.

They also highlighted the importance of continued economic cooperation and regional engagement to support long-term stability and development.

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EU and IFC launch €5 million program to support Afghanistan’s private sector

The initiative is part of broader cooperation between the EU and the World Bank Group to promote inclusive, private sector–led economic recovery in Afghanistan.

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The European Union has launched a new €5 million programme in partnership with the International Finance Corporation (IFC), a member of the World Bank Group, aimed at stabilising Afghanistan’s private sector and supporting job creation across the country.

Under a newly signed administration agreement, the funding will support the Afghanistan Private Sector Stabilisation Programme, which seeks to boost small and medium-sized enterprises (SMEs), encourage entrepreneurship and expand access to financial services.

The initiative is part of broader cooperation between the EU and the World Bank Group to promote inclusive, private sector–led economic recovery in Afghanistan.

The program places a strong emphasis on the economic participation of women, youth and returnees, and will work closely with private sector actors to improve the business environment and create sustainable livelihoods.

It is designed to complement existing EU efforts, particularly in rural development and microfinance, and will be reinforced by future World Bank initiatives.

Scheduled to begin next month and run for 42 months, the program will focus on five key areas: strengthening private sector coordination and advocacy; building the capacity of SMEs and start-ups, especially those involving women, returnees and internally displaced persons; improving financial inclusion; mobilizing private capital to generate jobs in key sectors; and expanding women’s economic participation through greater private sector engagement.

EU Chargé d’Affaires to Afghanistan, Veronika Boskovic Pohar, said the initiative reflects the EU’s comprehensive support for the Afghan population, ranging from humanitarian assistance to longer-term economic recovery. She said the program is intended to promote job creation and entrepreneurship in strategic value chains, with a particular focus on women, youth and returnees.

IFC Regional Director for the Middle East, Pakistan and Afghanistan, Khawaja Aftab Ahmed, said the agreement underscores a shared commitment to supporting Afghan entrepreneurs.

He noted that strengthening businesses is a practical way to protect livelihoods and help Afghans rebuild their economy with dignity, even amid ongoing challenges.

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Afghanistan, India discuss expanding investment opportunities

Officials said the proposed investments could contribute significantly to job creation, the transfer of technical skills, and the broader growth of Afghanistan’s economy.

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Abdul Mateen Saeed, Deputy Minister for Customs and Revenue at Afghanistan’s Ministry of Finance, has held talks with a delegation of Indian investors on potential investment opportunities in the country.

In a statement, the Ministry of Finance said Saeed highlighted the Islamic Emirate of Afghanistan’s recent measures to facilitate trade and investment, noting that additional incentives for traders and industrialists are also being developed.

He emphasized that bilateral relations between Afghanistan and India—particularly in trade and investment—are gradually strengthening.

The Indian investors expressed readiness to invest in several priority sectors, including the manufacture of medicines for human, agricultural and veterinary use, the introduction of modern technologies in agriculture and mining, and the implementation of capacity-building programs for Afghan professionals.

Officials said the proposed investments could contribute significantly to job creation, the transfer of technical skills, and the broader growth of Afghanistan’s economy.

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