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Afghanistan’s Railways Authority reviewing operating contracts

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Afghanistan Railways Authority (ARA) officials have said that operating contracts with neighboring countries for Afghanistan’s railway stations were formalized without taking the country’s best interests into consideration.

According to officials, tens of millions of dollars has been paid annually to companies from neighboring countries to run the stations.

ARA’s new leadership is now however working on a plan to outsource the operation of railway stations to Afghan companies so that it can benefit the Afghan national economy directly.

Bakht-u-Rehman Sharafat, director of ARA, said an Uzbekistan company has the contract to operate the port of Hairatan at a cost of $18 million a year. However, local companies are prepared to do the same work for much less, he said.

“The port of Hairatan, through which we carry most of our shipments, has been contracted by an Uzbek company for $18 million a year, while Afghan companies will do this for less than 25 percent of this amount,” said Sharafat.

Afghanistan’s private sector has also called on the country’s railway authority to increase trade capacity at its ports.

Members of the private sector said the local economy will improve if railway services expand.

“If we can do our export by rail, it will be cheaper for us and with that we will be able to expand our exports and lower our prices,” said Abdul Jabar Safi, the director of the Afghanistan Industries Association.

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Regional partners seek progress on Trans-Afghan corridor and CASA railway

The discussions took place during the international NEW SILK WAY business forum in Astana, attended by senior transport officials from the five countries.

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Officials from Kazakhstan, Afghanistan, Uzbekistan, Pakistan and Iran have discussed ways to advance the Trans-Afghan transport corridor and the Central Asia-South Asia (CASA) railway project, aiming to strengthen regional connectivity and expand trade routes.

According to Kazakhstan’s Ministry of Transport, the discussions took place during the international NEW SILK WAY business forum in Astana, attended by senior transport officials from the five countries.

The meeting focused on the CASA railway project, which aims to improve transport links between Central, South and West Asia, increase freight capacity and provide better access to international markets and seaports.

Participants reviewed the project’s current status and practical implementation requirements, including route coordination, infrastructure development and the establishment of a cargo base.

They also discussed financing mechanisms, attracting potential investors and international financial institutions, and strengthening coordination among Kazakhstan, Uzbekistan, Afghanistan and Pakistan.

Kazakhstan’s Minister of Transport, Nurlan Sauranbaev, said the participating countries had reaffirmed their shared interest in developing the Trans-Afghan corridor and implementing the CASA railway project.

“It is important for us to move from discussions to practical action,” Sauranbaev said, adding that the project could create an additional transport link between the regions, increase transit capacity, expand freight opportunities and strengthen trade and economic ties.

Following the meeting, participants reaffirmed their commitment to continued cooperation and the development of practical measures to advance the project.

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IsDB urges MENAP countries to boost economic resilience and private investment

The meeting brought together regional finance ministers, central bank governors and international financial institutions to discuss economic challenges and policy priorities.

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The Islamic Development Bank (IsDB) Group has urged countries across the Middle East, North Africa, Afghanistan and Pakistan (MENAP) region to strengthen economic resilience, address structural challenges and attract private investment to support sustainable growth.

IsDB Group Chairman Dr. Muhammad Al Jasser outlined the priorities during the MENAP Ministers and Governors’ Meeting with the managing director of the International Monetary Fund (IMF), held on the sidelines of the World Bank Group and IMF meetings in Bangkok, Thailand, according to an IsDB statement.

Al Jasser identified four key priorities: maintaining macroeconomic stability, addressing structural economic weaknesses, mobilizing private capital and strengthening regional integration.

He stressed the need to rebuild fiscal and external financial buffers to help countries withstand economic shocks, while investing in infrastructure, human capital and economic diversification.

He also highlighted the importance of private-sector investment, stronger partnerships and innovative financing mechanisms in driving development.

On regional cooperation, Al Jasser called for improved connectivity and stronger trade and investment ties to develop regional value chains and create opportunities for sustainable growth.

The IsDB Group said it has approved nearly US$100 billion cumulatively for member countries across the MENAP region, reaffirming its commitment to supporting more diversified, resilient and inclusive economies.

The meeting brought together regional finance ministers, central bank governors and international financial institutions to discuss economic challenges and policy priorities.

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Hairatan railway port sees over 280 wagon arrivals daily from Central Asia

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The Hairatan railway port in northern Afghanistan receives between 280 and 300 freight wagons daily from Central Asian countries, highlighting its growing role in connecting Afghanistan to regional and international markets.

The 75-kilometer Hairatan–Mazar-e-Sharif railway links Afghanistan with Uzbekistan and provides a key route for transporting goods from Central Asia, China and other international markets into the landlocked country.

Sayed Qadim Karimi, head of railway transportation at Hairatan port, told China’s Xinhua news agency that trade activity had increased this year, with an average of 280 to 300 wagons arriving at the port each day.

He said the railway transports a wide range of goods to Afghanistan, including clothing, medical equipment, machinery and electrical equipment, adding that trade with China had expanded in recent years.

Afghan traders say the railway connection has helped strengthen commercial ties with China and other regional countries while making it easier to transport imported goods.

“We transport our goods from China by freight train via Kazakhstan and Uzbekistan and receive them at Hairatan port,” businessman Ahmad Agha told Xinhua.

Agha said trade with Chinese businesses offered promising opportunities and expressed hope that further railway development would strengthen commercial ties with Kazakhstan, Russia and European countries.

He added that rising cargo volumes had created employment opportunities for local residents, with hundreds of workers handling containers at the port daily to support their families.

Another Afghan businessman, Ahmad Farid Fardan, who imports women’s clothing and colorful fabrics from China, said the railway connection had strengthened trade relations between the two countries.

Fardan expressed hope that expanding railway networks would help Afghanistan broaden its trade and economic relations with China and other countries in the region.

The railway’s role in China-Afghanistan trade dates back to 2016, when the first cargo train from China reached Hairatan as part of a pilot project. In 2019, Afghanistan sent its first export train to China, carrying several containers of talc powder.

The Hairatan railway remains an important transport link for Afghanistan’s import and export activities, offering access to regional markets and broader trade networks extending to Kazakhstan, Kyrgyzstan, Russia, China and Europe.

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