Business
Afghanistan and Iran usher in new trade chapter after railway link inaugurated
The Herat-Khawaf railway line, a major infrastructural project between Afghanistan and Iran, was officially inaugurated in the presence of the presidents of both countries, via video link, on Thursday.
For Afghanistan this was an historic moment as the railway line will open a new chapter in trade not only with Iran but also with other regional countries, Europe and the rest of the world.
The railway link is seen as an important step in regional cooperation, in addition to being a way to strengthen economic ties and relations between Afghanistan and Iran.
In his speech, President Ashraf Ghani said he had hoped to attend the inauguration in person but due to COVID-19 restrictions he was not able to.
Ghani said however that the railway line was a critically important project, not only for Afghanistan and Iran but also for the region and beyond.
“The opening of the Khawaf-Herat railway is a great step for the development and economic leap of Iran and Afghanistan,” Ghani said.
He said railway transport is the most efficient, important and cheapest means of transporting goods in Asia.
Iranian President Hassan Rouhani in turn said the opening of the Khawaf-Herat railway line strengthens Afghanistan-Iran ties.
Rouhani said that through this railway link, Afghanistan will be connected to European countries.
“With the Herat-Khawaf railway line, Afghanistan will be connected to European countries and also soon will be connected to the Chabahar railway line,” Rouhani added.
Atta Nasib, Head of Afghanistan Investment Facilitation Unit said that this will help turn Afghanistan into a transit hub.
“This railway between Afghanistan and Iran is a major economic and strategic achievement for both countries, which will connect us to European countries,” said Nasib.
Yamma Shams, General Director of Afghanistan Railway Authority said that it is estimated that eventually Khawaf-Herat railway line will carry 1,600 passengers a day.
The railway line cost $100 million dollars to build and currently spans 130 km in total – 70 km in Iran and 60 km in Afghanistan.
This railway line is strategically important as it gives Afghanistan easy access to Iranian ports at Chabahar and Bandar Abbas, as it connects into Iran’s existing railway grid.
Construction of the railway began in April 2007 and was due to finish in 2009, but was delayed.
However, last week a trial run was held and the first consignment of goods imported from Iran, including 500 tons of cement, successfully arrived in the country.
According to the reports Iran’s exports to Afghanistan are projected to reach $2.7 billion by March next year.
Business
Afghanistan, Uzbekistan strengthen ties with $524 million in trade deals
Speaking at the event, Fayez Ahmad Khwafi, Deputy for Provincial Affairs at the Afghanistan Chamber of Commerce and Investment, highlighted the growing importance of economic ties between the two nations.
Herat has taken a major step forward as a regional trade powerhouse, with 14 commercial agreements worth over $524 million signed during a high-level business conference linking Afghanistan and Uzbekistan.
The conference, held on Tuesday in Herat, brought together senior government officials and influential business leaders from Herat and Andijan, creating a dynamic platform to deepen economic cooperation, unlock new investment opportunities, and strengthen cross-border partnerships.
Speaking at the event, Fayez Ahmad Khwafi, Deputy for Provincial Affairs at the Afghanistan Chamber of Commerce and Investment, highlighted the growing importance of economic ties between the two nations. He pointed to Herat’s strategic position as a gateway for trade, emphasizing the critical role of the Islam Qala and Torghundi ports in driving regional commerce.
Khwafi stressed that continued exchange between business delegations is essential to sustaining momentum, describing the collaboration between Herat and Andijan as a significant move toward expanding bilateral trade and fostering long-term economic growth.
Adding further weight to the initiative, the Governor of Herat welcomed the agreements and confirmed plans for an upcoming delegation visit to Andijan—signaling a commitment to building even stronger relationships with Uzbek investors and traders.
The event drew wide participation from key stakeholders, including the governors of both regions, heads of national chambers of commerce, and a large contingent of private sector representatives.
Officials say the agreements span multiple industries and are expected to deliver a meaningful boost to trade between Kabul and Tashkent, reinforcing a shared vision for stronger regional economic integration.
Business
Afghanistan–Uzbekistan forum secures $520 million in trade and investment deals
Officials said the agreements include $300 million in investment commitments, $150 million in imports, and $70 million in exports.
A joint business forum between Afghan and Uzbek private sector representatives in Kabul has resulted in the signing of 38 agreements valued at $520 million, underscoring deepening economic ties between the two neighbours.
Participants at the forum, including traders from Afghanistan and Uzbekistan’s Andijan Region, finalized deals spanning investment, imports, and exports. Officials said the agreements include $300 million in investment commitments, $150 million in imports, and $70 million in exports.
Afghanistan’s Minister of Commerce and Industry, Nooruddin Azizi, said the latest deals add to a growing portfolio of bilateral agreements, with total contracts between the two countries now exceeding $1 billion. He noted that economic relations between Kabul and Tashkent are shifting from dialogue to concrete implementation.
Azizi highlighted Afghanistan’s potential as a key market for Uzbek goods while also stressing the country’s export capacity. He emphasized the importance of joint investment partnerships and reaffirmed government support for both domestic and foreign investors.
The Afghanistan Chamber of Commerce and Investment reported significant progress in recent months, stating that trade agreements worth $1.4 billion have been signed over the past six months, with some already in operation. The chamber estimates that annual trade between the two countries has reached around $1.5 billion.
Officials from Uzbekistan also pointed to expanding cooperation. Shuhratbek Abdurakhmonov said bilateral relations are steadily improving and noted that Uzbek businesses are ready to share expertise with Afghan partners.
Meanwhile, Davron Vakhobov said Uzbek investors are already active across a range of sectors in Afghanistan, including poultry, textiles, food production, furniture, leather goods, energy infrastructure, pharmaceuticals, and construction. He expressed confidence that private-sector collaboration will continue to grow.
Local authorities also encouraged Uzbek investors to explore opportunities in Nangarhar Province, saying favourable conditions have been created to support new investments.
Business
IEA issues new decree to regulate street vendors, boost urban order
The decree mandates that all municipalities adhere to urban planning standards in managing street vending activities.
The leadership of the Islamic Emirate of Afghanistan has unveiled a new decree designed to regulate the operations of street vendors in cities across the country. The initiative seeks to create a more organized urban environment while simultaneously supporting small-scale entrepreneurs.
The decree mandates that all municipalities adhere to urban planning standards in managing street vending activities. Municipalities are instructed to designate specific areas for vendors, ensuring they have clearly marked and organized spaces to conduct business. These designated zones will be monitored to ensure compliance with both health and safety standards.
As part of the formalization of the street vending sector, vendors will be required to register and receive identification cards at no cost. The government aims to create a centralized database to track vendors’ personal details, the nature of their businesses, and their exact operating locations. This move is also intended to aid in ongoing monitoring, ensuring vendors comply with regulations and do not sell prohibited or expired goods.
In addition to these registration requirements, the decree stipulates that vendors must adhere to several conditions. These include maintaining cleanliness at their assigned spaces, refraining from selling illegal products, and avoiding the use of loudspeakers to attract customers.
To ensure compliance, the decree includes a system of enforcement. Vendors who violate the rules will first receive a written warning, while repeat offenders risk having their operating rights revoked. Authorities are committed to ensuring the decree’s effectiveness, with ongoing monitoring and corrective actions.
This new regulation represents a significant step in formalizing the street vending sector, supporting small businesses, and bringing a greater sense of order to Afghanistan’s urban areas.
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