Business
Afghanistan exports up by 7% in first quarter of 2023: World Bank
Exports from Afghanistan increased by seven percent in the first quarter of 2023, the World Bank said in a new report released Tuesday.
Based on unofficial Afghanistan customs data, exports in the first quarter of 2023 reached US$ 0.5 billion, with a 7 percent growth compared to Q1-2022, the report said.
As food exports remain stable, the increase can be attributed primarily to coal (by 26 percent) and textiles by 28 percent.
During Q1-2023, Pakistan remained Afghanistan’s largest export market (accounting for 60 percent of total exports), followed by India (24 percent).
Exports to Pakistan are mainly food and coal, contributing around 72 percent of total exports in Q1–2023. Coal exports to Pakistan reached US$ 111.6 million in Q1-2023 (compared to US$ 476 million in 2022 and US$ 88 million in Q1-2022).
The report also said that during the first quarter of 2023, imports stood at $1.8 billion, reflecting 32 percent growth.
The trade deficit reached $1.3 billion in the first quarter of 2023, a 45 percent growth. However, the UN cash shipments for the period (US$ 560 million) cover only less than half of the merchandise trade deficit, the report said.
The inflationary pressures eased substantially from year-on-year, with inflation recorded at 3.5 percent in February.
The Afghani currency appreciated against all currencies. Between February 4 – April 18, 2023, the Afghani currency appreciated by 5.4 percent against the US dollar.
The Islamic Emirate of Afghanistan (IEA) continues to exert strong controls on the illegal export of foreign currency, strengthening the Afghani rate. At the same time, the United Nations make US dollars available in the market through cash shipments (US$ 560 million were shipped to Afghanistan in Q1 2023 against a cumulative – US$ 1.8 billion in 2022), the report said.
Business
Afghanistan officials call for investment during Indian expo visit
The event brought together officials and business representatives from more than 80 countries, showcasing agricultural, industrial, and construction products across 350 exhibition booths.
Sayed Karim Hashemi, Chairman of the Afghanistan Chamber of Commerce and Investment (ACCI), has traveled to India to participate in the Bharat Buildcon International Exhibition, one of the country’s largest construction and infrastructure expos.
The event brought together officials and business representatives from more than 80 countries, showcasing agricultural, industrial, and construction products across 350 exhibition booths.
On the sidelines of the exhibition, Hashemi held meetings with Indian and international investors, business leaders, and private sector representatives to discuss expanding economic cooperation and investment opportunities in Afghanistan.
He highlighted Afghanistan’s vast reserves of construction raw materials and mineral resources, encouraging Indian and international companies to invest in the country’s mining, construction, and manufacturing sectors.
Accompanied by Afghanistan’s Ambassador to India, Noor Ahmad Noor, and Health Attaché Sayed Emad Hashemi, the ACCI chairman also visited the booths of several leading global companies.
During his visit, Hashemi toured a major traditional medicine manufacturer and emphasized the importance of expanding bilateral trade in medicinal herbs and agricultural products between Afghanistan and India.
He noted that growing demand for construction materials, combined with Afghanistan’s abundant natural resources, positions the country as an attractive destination for foreign investment, particularly from Indian companies.
Business
Afghanistan and Kazakhstan seal 25 private sector MoUs for cooperation
Business
Trans-Afghan Railway cost surges to over $7 billion as regional interest grows
The project includes approximately 760 kilometers of new railway construction inside Afghanistan, between Mazar-e Sharif and Torkham.
The estimated cost of the proposed Trans-Afghan Railway linking Uzbekistan, Afghanistan and Pakistan has risen to more than $7 billion, according to Uzbek Deputy Minister of Transport Jasurbek Choriyev.
Speaking at the Tashkent International Investment Forum on June 18, Choriyev said the updated figure reflects ongoing technical assessments and the evolving scope of the project. Earlier estimates had placed the cost at around $4.8 billion.
He noted that a detailed feasibility study for the strategic railway is currently underway and is expected to be completed by the end of 2026.
Strategic regional corridor
The Trans-Afghan Railway is planned to establish a direct rail link from Termez in Uzbekistan through Mazar-e Sharif, Logar, Kharlachi and Torkham in Afghanistan, before continuing into Pakistan and connecting with major ports including Karachi.
The project includes approximately 760 kilometers of new railway construction inside Afghanistan, between Mazar-e Sharif and Torkham.
According to officials, the railway is expected to significantly reduce transport time between Central Asia and Pakistan—from around 35 days to as little as three to five days—while also lowering logistics costs.
Trade and cargo capacity
Choriyev said the railway could handle up to 20 million tons of cargo annually, doubling earlier estimates of 10 million tons.
He added that the corridor would provide Central Asian countries with faster access to global maritime trade routes and strengthen economic links between South Asia, Central Asia and CIS states, where combined trade exceeds $700 billion.
Officials also estimate that container transport costs along the route could be reduced by nearly three times compared to existing logistics pathways.
Financing and international interest
The deputy minister confirmed that several countries, including the United Arab Emirates and Qatar, have expressed interest in participating in the project. The Eurasian Development Bank has also indicated readiness to support financing.
Uzbek officials have been promoting the railway as a long-term strategic infrastructure project aimed at boosting regional connectivity and trade integration. While feasibility work continues through 2026, final investment and construction decisions are expected to follow upon completion of the study.
The project is widely seen as a key component of efforts to transform Afghanistan into a transit hub linking Central and South Asia.
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