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Islamic Banking System agreement signed

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Last Updated on: October 25, 2022

BankingsOfficials in chamber of commerce and industry said,” due to lack of Islamic banks in Afghanistan about 60% of Afghan businessmen to receive loans from abroad”

They have signed an agreement with an Arabic company to expand Islamic bank systems in the country.

Officials in chamber of commerce and industry stated efforts are underway to expand the culture of Islamic banking system in Afghanistan.

Deputy of chamber of commerce and industry Khanjan Alokozai has confirmed that about 60% of the Afghan businessmen deal with other international Islamic banks for receiving loans.

Head of the Arabic company Mohammad Buliuf claimed efforts are underway to expand and develop the Islamic banking system in Afghanistan by giving insurance, building capacity on banking and exchanging of currencies.

The following training programs will last for coming 4 years and it will also cover the Governmental and none Governmental banks workers to build their capacity for expanding Islamic banking system.

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Uzbekistan–Afghanistan trade rises to $1.6 billion in 2025

Trade relations remain largely export-driven, with Uzbekistan supplying Afghanistan primarily with food products, energy resources, and industrial goods.

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Trade between Uzbekistan and Afghanistan rose sharply in 2025, reaching $1.6 billion, according to official data released by Uzbekistan’s National Statistics Committee.

The figure represents a 45.5 percent increase from $1.1 billion in 2024 and an 84.4 percent rise compared with 2023, when bilateral trade stood at $867.5 million, highlighting rapid growth in economic exchanges between the two countries.

Uzbekistan’s exports to Afghanistan accounted for the vast majority of the trade volume, totaling $1.5 billion, or 93.8 percent of overall bilateral turnover. Trade relations remain largely export-driven, with Uzbekistan supplying Afghanistan primarily with food products, energy resources, and industrial goods.

The surge in trade comes as Uzbekistan’s total foreign trade turnover reached $81.2 billion in 2025, reflecting broader efforts to expand and diversify external economic ties. By the end of the reporting period, Uzbekistan maintained trade relations with 210 countries.

China remained Uzbekistan’s largest trading partner, accounting for 21.2 percent of total trade, followed by Russia (16.0 percent), Kazakhstan (6.1 percent), Türkiye (3.7 percent), and the Republic of Korea (2.1 percent).

The latest figures underscore strengthening economic ties between Uzbekistan and Afghanistan amid efforts to boost regional trade and connectivity.

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Turkish firm eyes investment in Afghanistan’s power infrastructure

Technical assessments are also planned in various provinces to evaluate the potential for increased electricity generation from existing water resources.

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A Turkish electrical equipment company has expressed strong interest in investing in Afghanistan’s hydropower sector, focusing on the installation of new-technology turbines and the rehabilitation of existing power generation facilities, according to Da Afghanistan Breshna Sherkat (DABS).

DABS Chief Executive Officer, Abdul Haq Hamkar, met with Mr. Günay Küsay, a senior engineer and representative of Turkey’s Marbeyaz company, to discuss potential cooperation in hydropower development, modernization of equipment, and the installation of advanced electricity generation systems.

During the meeting, Hamkar welcomed the Turkish delegation and said that all necessary facilities and incentives have been put in place to encourage both domestic and foreign investment in Afghanistan’s electricity and electrical equipment production sectors. He emphasized that investors are free to invest across relevant fields within the energy sector.

Mr. Küsay praised the leadership of DABS and said Marbeyaz is keen to invest in electricity generation from Afghanistan’s water resources, rehabilitate existing hydropower turbines, install modern high-capacity turbines, and contribute to strengthening the technical capacity of local staff.

At the end of the meeting, both sides agreed to hold joint technical sessions between DABS and Marbeyaz experts. Technical assessments are also planned in various provinces to evaluate the potential for increased electricity generation from existing water resources.

DABS said that improved security, economic stability, and transparent governance have helped create a more favorable environment for international companies to invest in Afghanistan’s power generation and electrical equipment production sectors.

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Afghan and Iranian provincial governors discuss expanding trade and transit cooperation

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Noor Ahmad Islamjar, Governor of Herat, led a delegation to the Afghanistan–Iran border, where he held talks with Gholamhossein Mozaffari, Governor of Iran’s Khorasan Razavi province, on strengthening trade and transit relations between the two countries.

During the meeting, both sides discussed measures to enhance facilitation in trade and transit, increase the movement of freight vehicles, accelerate the transfer of goods, and address existing challenges at the border crossing.

Islamjar underscored the importance of expanding economic and trade ties between Afghanistan and Iran, calling for greater cooperation to ease procedures for traders and improve transit operations.

Mozaffari welcomed the expansion of bilateral trade and transit cooperation and said Iran is working to strengthen joint coordination and improve commercial activities at the Islam Qala border.

The meeting followed previous engagements between the two sides and aimed to boost economic cooperation, increase trade volumes, and provide greater facilitation for traders and freight drivers operating between Afghanistan and Iran.

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