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Afghanistan’s mining industry never achieved its potential, despite US efforts: SIGAR

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(Last Updated On: January 10, 2023)

Afghanistan’s extractives industry never achieved its potential, despite years of US development efforts, a US watchdog report concluded.

The US government spent nearly $1 billion to fund critical mineral surveys, mineral exploration, regulatory reforms and capacity development for the former Afghan government, according to the report by the Special Inspector General for Afghanistan Reconstruction, or SIGAR.

“US efforts in Afghanistan’s extractives industry presented one of the greatest opportunities for the Afghan government to generate royalty income, grow its economy, and provide meaningful employment,” the report said. “Nonetheless, multiple factors, including corruption and illegitimate and unregulated mining, hindered Afghanistan’s ability to successfully develop its extractives industry.”

For example, corruption persisted throughout US efforts to develop Afghanistan’s extractives industry and political elites, warlords, military personnel, and the police controlled many mining operations—the former Afghan government estimated that it lost $300 million in revenues annually from illegal mining, according to the report.

SIGAR said that Afghanistan’s challenges in the industry, along with the COVID-19 pandemic, the collapse of the former Afghan government, and the lack of accountability and oversight, impeded sustainable progress in the development of the country’s extractives industry.

The US government estimated the territory of Afghanistan could hold more than $1 trillion worth of mineral deposits, which could be used to generate potentially significant revenue for the Afghan government and support Afghanistan’s economic development.

SIGAR also highlighted that US agencies did not perform required oversight of the programs to develop Afghanistan’s extractives industry.

“In the 20 years of US presence, there was no developmental and infrastructural strategy or plan,” said Shabir Bashiri, an economic expert.

The Islamic Emirate of Afghanistan (IEA) meanwhile has prioritized mining in its bid to boost the country’s economy.

“There has been greater transparency, expedition and biddings in the mining sector since the Islamic Emirate took over. Efforts are ongoing for the extraction of our oil and minerals. Hopefully it will eliminate economic poverty in Afghanistan,” said Sakhi Ahmad Paiman, deputy head of Chamber of Industries and Mines.

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IEA urges World Bank to resume work on 7,000 incomplete projects

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(Last Updated On: April 19, 2024)

Officials at the Ministry of Rural Rehabilitation and Development (MRRD) say 7,000 incomplete projects of the World Bank are at risk of destruction in Afghanistan. They call on the World Bank to resume the work of these projects.

According to them, discussions have been held with the World Bank about these projects, but there has been no result yet.

“7,000 incomplete projects are being destroyed, and if the work is not started, these projects will be destroyed. We ask the World Bank to resume the work of these projects as soon as possible,” said Noorul Hadi Adel, the spokesperson of MRRD.

Meanwhile, members of the private sector also ask international institutions to resume their work in Afghanistan.

According to the officials of this sector, with the start of these projects, job opportunities will be provided for thousands of people in the country.

“These projects create employment for our people and the country will grow a lot,” said Mirwais Hajizadeh, a member of the private sector.

However, economic experts stated if the work of these projects does not start soon, they will be destroyed and the investments made in them will be wasted.

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Ten people killed by floods in Helmand

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(Last Updated On: April 19, 2024)

Ten people have been killed and six others injured by floods in Helmand province in the past week, local officials said on Friday.

According to officials, seven of those were members of the same family, and they were killed in Kajaki district last night.

“Most of the people moved from vulnerable areas to high lands and mountains, and thanks Allah the number of casualties is low,” Sher Mohammad Vahdat, the head of information of the Directorate of Information and Culture in Helmand, said adding rescue teams and security forces have been dispatched to help people.

It is said that the telecommunication system has also been disrupted due to the effect of floods in Kajaki district. Floods have also destroyed thousands of acres of agricultural land.

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UN envoy meets Indian foreign minister to discuss Afghanistan

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(Last Updated On: April 19, 2024)

Roza Otunbayeva, the UN Secretary General’s Special Representative for Afghanistan, met with the Indian Foreign Minister Subrahmanyam Jaishankar in New Delhi and discussed issues related to Afghanistan, it was announced on Thursday.

During the meeting, Otunbayeva thanked India for “its critical humanitarian support and longstanding friendship for the Afghan people” and discussed the importance of regional and international cooperation to address prevailing challenges in Afghanistan, UNAMA said on X.

Jaishankar also said on X that the sides exchanged views on the current situation in Afghanistan.

“Underlined that India has provided wheat, medicines, pesticides and school supplies. Appreciate the role of UN agencies as partners in these endeavors,” he said.

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