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Ban on opium cultivation in Afghanistan cost farmers $1.3 billion

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The ban on opium cultivation precipitated a staggering $1.3 billion loss in farmers’ incomes, equivalent to approximately 8 percent of the country’s GDP, the World Bank said in a new report.

The bank said that over the past two fiscal years, the real GDP of Afghanistan contracted by 26 percent, and the country’s economic outlook remains uncertain, with the threat of stagnation looming large until at least 2025.

According to the report, structural deficiencies in the private sector and waning international support for essential services are anticipated to impede any semblance of economic progress.

Half of Afghanistan’s population lives in poverty and 15 million people face food insecurity, it noted.

“Afghanistan’s long-term growth prospects depend on a significant shift from its previous reliance on consumption-driven growth and international aid to a more resilient, private sector-led economy that capitalizes on the country’s strengths,” said Melinda Good, World Bank Country Director for Afghanistan.

“For a sustainable future, Afghanistan needs to address harmful gender policies, invest in health and education, and focus on the comparative advantages it has in the agricultural and extractive sectors.”

The World Bank pointed out that the increase in Afghanistan’s trade deficit is another challenge for the country’s economy. According to the bank’s report, in 2023, Afghanistan’s imports increased by 23% and reached $7.8 billion.

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High-level Uzbek delegation arrives in Kabul to boost bilateral trade

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A high-level government–private sector delegation from Uzbekistan, led by Shukhrat Abdullazakov, Governor of Namangan Province, arrived in Kabul to enhance trade between the two countries and promote investment in Afghanistan.

According to a press release from the Ministry of Industry, the delegation, which includes deputy governors and more than 30 of Uzbekistan’s top businesspeople and investors, will meet with officials of the Islamic Emirate of Afghanistan and participate in conferences and trade meetings.

The delegation will also travel to Balkh, meet with local officials, and hold business meetings with members of the private sector.

Additionally, the delegation will inaugurate an exhibition of Uzbek products and goods in Mazar-i-Sharif.

This visit follows the trip of Erkinjon Turdimov, Governor of Uzbekistan’s Syrdarya Province, and his accompanying delegation, and is based on meetings between Nuruddin Azizi, Minister of Industry and Trade of the Islamic Emirate, and senior Uzbek officials.

Other governors from Uzbekistan are also expected to visit Afghanistan to further expand bilateral trade and economic relations.

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Herat Chamber of Commerce donates 15 million AFN to the people of Iran

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The Herat Chamber of Commerce and Investment announced on Saturday that national traders, jointly through the chamber, have provided approximately 15 million AFN in aid to the people of Iran.

The chamber stated that this aid package was delivered to the Iranian Consulate in Herat. It added that the assistance was intended to express solidarity with families affected by the war.

Mohammad Younes Qazizadeh, head of the Herat Chamber of Commerce and Investment, said: “Today we have presented 15 million AFN to the dear people of Iran through the Herat provincial authorities and the Iranian Consulate, and this aid will continue.”

Meanwhile, officials at the Iranian Consulate in Herat emphasized that Afghanistan and Iran always stand together and fully understand each other’s difficulties.

The Herat Chamber of Commerce and Investment also highlighted that the people of Iran have consistently supported the people of Afghanistan during various crises, and their cooperation in different sectors has reached families affected in the country.

Officials of the Herat Chamber of Commerce and Investment stressed that the process of private-sector humanitarian aid to the affected people of Iran will continue.

Following attacks by the United States and Israel on Iran, many people in the country have been affected and harmed.

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Severe floods in Badghis leave five dead

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Local officials in Badghis have reported that heavy rainfall from midnight until Saturday morning claimed the lives of five people in the province.

According to officials, three people died in Qadis district, while two others, including a three-year-old child, lost their lives in Dara-e-Bum district.

The Badghis Department for Disaster Management stated that the floods not only caused fatalities but also inflicted significant financial losses on local residents and destroyed agricultural land.

However, complete information on the extent of damage and casualties is not yet available. Staff from various government departments have been dispatched to affected areas to conduct preliminary surveys.

Meanwhile, heavy rains and floods in western Afghanistan temporarily blocked the Herat–Kandahar Highway.

According to Mohammad Israil Sayar, head of the Disaster Management Department in Farah province, recent rainfall has caused the Farah River to swell significantly. He added that the situation has now returned to normal, and traffic along the highway has resumed.

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