Business
Afghanistan’s economy is ‘normal’, says finance ministry
Afghanistan’s Ministry of Finance said Wednesday that after a comprehensive assessment of various sectors, the country’s economic situation is in “its normal state”.
According to a statement issued by the ministry, a meeting was convened to assess financial trade, foreign humanitarian aid, the value of the afghani (AFN), and the impact of changes in foreign policies on the economy.
It was found that the import and export process is functioning smoothly, the banking sector remains stable, national revenues are being collected transparently, and essential government expenditures are being made regularly without any delays.
The ministry attributed the decrease in the value of the AFN against foreign currencies, particularly the US dollar, to widespread negative propaganda.
“Overall, all domestic economic factors are maintaining the value of the Afghan currency in a normal state,” the statement read.
Modest recovery
The Afghan economy is showing signs of moderate growth, but still faces significant headwinds, including fiscal constraints, trade imbalances, and a limited capacity for public investment, according to the World Bank’s latest Afghanistan Development Update.
The World Bank stated that Afghanistan has seen a modest GDP growth of 2.7% over the past two years – growth driven by private consumption. The update stated the economy had recouped only about 10% of past economic losses, indicative of the slow and fragile nature of the recovery.
“Afghanistan’s long-term growth prospects depend on tapping into the substantial potential of the domestic private sector and improving the overall business environment,” said Faris Hadad-Zervos, World Bank Country Director for Afghanistan in the update, which was issued last month.
“Key to this is increased investment, providing access to finance to small businesses, and supporting educated and skilled women entrepreneurs so their businesses can thrive. Without this, the country risks prolonged stagnation with limited prospects for sustainable development,” he added.
The World Bank also stated that the partial recovery, coupled with falling food prices, has contributed to a gradual improvement in household welfare.
But most Afghan households continue to struggle to meet basic needs and poverty remains widespread, the report read.
Business
Afghanistan-Kazakhstan banking ties discussed in Kabul meeting
Business
Afghanistan, Kazakhstan envoys discuss expanding trade and regional connectivity
Ambassador Shakeeb thanked Kazakhstan for its continued support and constructive engagement with Afghanistan, particularly in efforts aimed at peace and economic development.
Afghanistan’s Ambassador to Pakistan, Sardar Ahmad Shakeeb, has met with Kazakhstan’s Ambassador to Pakistan, Yerzhan Kistafin, to explore ways to strengthen bilateral relations and advance regional cooperation.
The two envoys exchanged views on Afghanistan–Kazakhstan ties, regional connectivity, and major infrastructure initiatives, as well as the opportunities and challenges facing regional trade. Discussions also touched on Kazakhstan’s role in promoting regional stability and other matters of mutual interest.
Ambassador Shakeeb thanked Kazakhstan for its continued support and constructive engagement with Afghanistan, particularly in efforts aimed at peace and economic development.
He expressed hope that the proposed $3 billion joint trade agreement, once finalized, would bring tangible benefits to both countries and contribute to broader regional economic integration.
Ambassador Kistafin reaffirmed Kazakhstan’s support for stability and economic growth in Afghanistan, highlighting his country’s involvement in key regional connectivity and trade projects.
He said the current security and stability situation in Afghanistan has increased Kazakhstan’s confidence in expanding regional trade and transit, and praised the efforts of the Islamic Emirate in this regard.
He also stressed the need for coordinated regional efforts to ensure lasting stability, sustainable economic development, and the smooth movement of goods and transit across the region.
Business
Mahirood Customs leads Iran’s exports to Afghanistan
More than 1.5 million tonnes of goods were exported to Afghanistan through the border crossing during this period.
Mahirood Customs in South Khorasan province has become Iran’s main export gateway to Afghanistan, accounting for 36 percent of the country’s total exports to its eastern neighbor, Iranian officials said.
South Khorasan Governor Seyed Mohammadreza Hashemi told local media that Mahirood ranked first among Iran’s 71 active customs points during the first eight months of the current Iranian year.
More than 1.5 million tonnes of goods were exported to Afghanistan through the border crossing during this period.
Official customs figures show that Iran’s total exports to Afghanistan exceeded 4.26 million tonnes in the first eight months of the year, with Mahirood handling the largest share, Hashemi said.
He attributed the strong performance to South Khorasan’s strategic location, improved border infrastructure, effective planning, close cooperation with traders, and coordinated efforts by government agencies.
Hashemi said the expansion of exports via Mahirood Customs is contributing to economic growth, job creation, and stronger economic diplomacy for the province.
He added that continued support for exporters and streamlined customs procedures could further increase South Khorasan’s share of the Afghan market and other target markets in the future.
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