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

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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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Ariana Airlines brings $2.3 million Boeing 737 engine from US to Kabul

The airline said the delivery represents an important step in strengthening its technical and operational capacity and supporting the continued operation of its fleet.

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Ariana Afghan Airlines has brought a Boeing 737 aircraft engine from the United States to Kabul following continued efforts by the airline’s leadership to complete the shipment.

According to Ariana Afghan Airlines’ media office, the engine had been held up in the United States due to customs procedures. Following completion of the required process, the engine was cleared and transported to Kabul.

The engine was purchased from US-based Global Engine for $2.3 million. Ariana’s technical team is expected to install the engine on one of the airline’s Boeing 737 aircraft following its arrival.

The airline said the delivery represents an important step in strengthening its technical and operational capacity and supporting the continued operation of its fleet.

Ariana Afghan Airlines’ leadership said it is also working to accelerate the procurement of additional spare parts and technical equipment required to maintain and support the airline’s aircraft and operations.

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Afghanistan issues more than 650,000 passports in one year

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Zabihullah Mujahid, spokesperson for the Islamic Emirate, says more than 650,000 ordinary passports were issued across Afghanistan over the past Hijri year, while the visas of more than 16,000 foreign nationals were extended.

Mujahid made the remarks during the “Government in the Media Mirror” program, held under the theme “Public Services Week.”

According to him, the General Directorate of Statistics and Information also distributed nearly 2 million electronic national ID cards and around 1 million paper ID cards during the 1447 Hijri year.

Mujahid added that the agency provided hundreds of thousands of in-person and online services related to corrections and amendments to national ID cards over the past year.

The Islamic Emirate spokesperson said the General Directorate of Passports has sought to make services faster and easier by reducing the passport application form from nine pages to one page.

He also announced an expansion of services by the state-owned Afghan Post, saying the company delivered more than 5 million domestic mail items over the past year.

According to Mujahid, other measures to expand postal services included verifying and certifying hundreds of thousands of documents, launching express services, establishing a customer service center, and delivering documents directly to people’s homes.

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Construction begins on major cement production plant in Herat

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Construction of a major cement production plant has officially begun in Afghanistan’s western Herat province, with the project expected to receive $143 million in investment and create thousands of jobs.

The groundbreaking ceremony was held on Sunday in the presence of senior officials of the Islamic Emirate, including the Deputy Prime Minister for Economic Affairs, the Deputy Prime Minister for Administrative Affairs and several cabinet ministers.

Homayoun Afghan, spokesperson for the Ministry of Mines and Petroleum, said the project has been contracted to a local company and that construction is expected to be completed within two years.

Once operational, the plant is expected to produce around 3,000 tonnes of cement per day, according to the ministry.

Officials say the project will provide direct and indirect employment for approximately 5,000 people, creating jobs and supporting economic activity in the province.

The Herat cement project is considered one of Afghanistan’s major industrial projects. Its development has been anticipated for decades, with residents and officials repeatedly calling for the province’s cement resources to be developed locally.

The plant is located about 30 kilometers west of Herat city in Zinda Jan district.

The project is expected to increase domestic cement production and reduce reliance on imported cement once it becomes operational.

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