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Afghanistan’s 2026 Development Framework meeting highlights self-reliance and economic stability

The Ministry said these measures helped preserve relative economic stability and deliver stronger economic growth compared with the previous year.

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The Ministry of Economy of Afghanistan says a coordination meeting on the United Nations’ 2026 Development Framework for Afghanistan was held under the chairmanship of Qari Din Mohammad Hanif, Minister of Economy, focusing on advancing national development priorities and long-term economic stability.

The meeting was attended by representatives from the Ministry of Foreign Affairs, the United Nations Assistance Mission in Afghanistan (UNAMA), heads of UN agencies operating in the country, delegates from the European Union, and a range of international organizations.

During the session, the Minister of Economy outlined Afghanistan’s current situation, recent achievements, and key economic priorities, while expressing appreciation for the continued support of international partners during challenging years.

According to the Ministry, Afghanistan faced severe economic, social, and climate-related pressures in 2025.

These included the impacts of climate change and natural disasters, the forced return of more than two million Afghan migrants from neighboring countries, ongoing sanctions, frozen foreign reserves, and a sharp decline in development and humanitarian assistance. Together, these factors have significantly affected the livelihoods of vulnerable communities.

Despite these challenges, the Islamic Emirate has implemented a series of economic and development programs centered on prudent policymaking and national priorities.

The Ministry said these measures helped preserve relative economic stability and deliver stronger economic growth compared with the previous year.

Improved economic governance, support for domestic production and the private sector, exchange rate stability, export growth, national infrastructure projects, inflation control, and increased domestic revenues were cited as key contributors.

The Ministry also highlighted the role of the United Nations in addressing urgent humanitarian needs, noting that UN assistance has been critical in responding to climate impacts, supporting migrants and returnees, strengthening food security and livelihoods, delivering basic health services, and reducing overall human suffering.

Data from the Ministry of Economy show that around $1.009 billion in international assistance was allocated to Afghanistan in 2025 across various sectors, with approximately $590 million earmarked for project expenditures. However, figures from the UN Office for the Coordination of Humanitarian Affairs indicate a significant drop in humanitarian funding, with only 36 percent of the $2.4 billion required having been secured.

The Ministry emphasized that sustainable economic stability can only be achieved through self-reliance, growth-driven economic policies, and constructive engagement with the international community.

Afghanistan’s Development Strategy, a long-term framework developed under the leadership of the Economic Deputy of the Prime Minister and coordinated by the Ministry of Economy, aims to promote balanced development, job creation, poverty reduction, infrastructure expansion, private sector support, and environmental protection.

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Afghan delegation visits Belarus to strengthen economic and industrial ties

The delegation also visited major state and industrial enterprises, including, the State Chemical Service, and agricultural farms under the Ministry of Agriculture.

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A high-level delegation from the Islamic Emirate of Afghanistan, led by Ahmad Jan Balal, head of the Emirati Companies, and Abdul Rahman Atash, CEO of the National Development Company, accompanied by representatives from the Ministry of Foreign Affairs and technical teams, visited Belarus to advance bilateral cooperation.

According to Nabiullah Arghandiwal, spokesperson for the National Development Company, the Afghan delegation held meetings with officials from Belarus’ Ministries of Foreign Affairs, Agriculture, and Industry to discuss political, economic, and trade-related issues.

The delegation also visited major state and industrial enterprises, including, the State Chemical Service, and agricultural farms under the Ministry of Agriculture.

Arghandiwal added that both sides agreed to strengthen and expand technical collaboration in the fields of industry, agricultural machinery, construction materials, food safety, public health, and education, aiming to enhance long-term economic and industrial partnerships between the two nations.

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Afghanistan, Uzbekistan sign $300m worth of trade agreements

Turdimov underscored the long-standing historical and economic links between the two nations and noted the active role of Afghan traders in the Syrdarya region.

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Afghanistan and Uzbekistan have signed 25 commercial memorandums of understanding worth more than $300 million, marking a significant boost to bilateral economic cooperation.

The agreements were concluded at a trade connectivity conference attended by Afghanistan’s Minister of Industry and Commerce, Nooruddin Azizi, and the Governor of Uzbekistan’s Syrdarya region, Erkinjon Turdimov, along with senior officials and business leaders from both countries.

Azizi said there is strong political and economic momentum behind expanding bilateral ties, noting that trade between the two sides has grown at an unprecedented pace in recent years. He added that both countries aim to increase trade volumes in 2025 compared to 2024, pointing to significant untapped potential.

He also highlighted preferential trade arrangements covering eight Afghan export items and six Uzbek products.

Turdimov underscored the long-standing historical and economic links between the two nations and noted the active role of Afghan traders in the Syrdarya region.

He called for deeper cooperation in industry and manufacturing, encouraged joint development projects, and outlined Uzbekistan’s investment opportunities, including access to European export markets.

The newly signed agreements span key sectors such as construction, food products, agriculture, furniture, textiles, and pharmaceuticals, reflecting growing private-sector confidence and signaling a new phase in Afghanistan–Uzbekistan economic partnership.

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With Torkham closed, trade losses mount

Business groups report Pakistan’s monthly export losses nearing $177 million, with bilateral trade volumes down by more than half in recent periods.

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Torkham

The Torkham crossing, a critical artery for trade between Afghanistan and Pakistan has remained shut to all movement and commercial activity for more than four months, since mid-October last year, deepening economic pain on both sides.

The closure followed clashes between Pakistani and Afghan forces on the night of October 11–12.

Although a ceasefire was later brokered with mediation involving Qatar and Turkey, trade routes have remained sealed amid lingering security concerns.

Alongside Torkham, other crossings—including Kharlachi, Ghulam Khan, Angoor Adda, and Chaman—were also closed, compounding the disruption.

Traders say the economic toll is mounting rapidly. Daily export losses through Torkham from Pakistan alone are estimated at about $2 million, translating to more than $240 million over roughly 120 days.

When stalled imports, lost customs revenue, and knock-on effects are included, the damage runs far higher.

Business groups report Pakistan’s monthly export losses nearing $177 million, with bilateral trade volumes down by more than half in recent periods.

Before the shutdown, Torkham handled around 10,000 travelers a day and 500–700 cargo and passenger vehicles. Its closure has crippled border markets and logistics.

Mujeeb Shinwari, president of Pakistan’s All Customs Clearance Agents Association, said more than 150 clearance offices at Torkham have shut, idling at least 1,000 workers. “This isn’t just about closed offices,” he said. “Entire households have lost their livelihoods.”

Zakir Shinwari, head of the Torkham Labour Union, estimates that over 4,000 daily-wage earners—drivers, loaders, porters, hotel owners, and service providers—have been pushed out of work. Faisal Malook, vice president of the Landi Kotal Traders Union, described a near-total collapse of local commerce, with markets empty and livelihoods cut off.

The shutdown has also distorted prices. Afghan exports of vegetables, cotton, and especially dry fruits—almonds, raisins, figs, pistachios, and pine nuts—have stopped, driving up prices in Pakistani markets.

Meanwhile, Pakistani exports such as potatoes, citrus, bananas, jaggery, and medicines have backed up, depressing prices and inflicting losses on producers.

Beyond the immediate area, factories reliant on Afghan raw materials or markets have slowed. Hopes of wider regional integration, including major power and transit initiatives linking Central and South Asia, have dimmed as prolonged closures and instability continue to undermine confidence in overland trade routes.

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