Business
Chamber claims corruption, insecurity eradicated in Afghanistan
Officials of Afghanistan’s Chamber of Industries and Mines (ACIM) said on Tuesday that corruption and insecurity have been eradicated since the Islamic Emirate of Afghanistan (IEA) took power last year but stated that the country was dealing with a severe economic crisis.
Officials said that one example is that of factories. According to them hundreds of manufacturing businesses have closed down due to the crisis.
The sudden collapse of the former government in August last year resulted in foreign donors cutting off all funding to Afghanistan, freezing of the country’s foreign reserves and imposition of economic sanctions.
Afghanistan, which has for the past 20 years been largely reliant on foreign funding, has been hit hard by these decisions which have contributed enormously to the current humanitarian crisis.
Chamber officials meanwhile said that international sanctions on Afghanistan’s banking system have led to the closure of many factories.
“We are satisfied with the Islamic Emirate, they are trying to promote domestic products and industries. Problems we have are because of international sanctions. The problem must be solved and Afghan money must be released,” said Sakhi Ahmad Paiman, the deputy head of the ACIM.
Members of the Steel Association, which is a major electricity consumer in Afghanistan, said that they still have power supply problems but other issues, including the smuggling of raw materials, has been stopped.
“Our problems have decreased compared to the past. Our expectation is to decrease challenges regarding domestic products,” said Abdul Nasir Rishtia, a member of the Steel Association.
Economic analysts also called on the IEA to help Afghan traders expand the domestic markets.
Several major international pharmaceutical companies could invest in medicine production in Afghanistan as part of growing cooperation between UN agencies and Afghan authorities, who hope to strengthen the country’s healthcare system.
The development was highlighted during a meeting between Afghanistan’s Minister of Economy, Din Mohammad Hanif, and UNICEF Representative Tajudeen Oyewale, where discussions focused heavily on improving healthcare access and expanding pharmaceutical capacity.
UNICEF officials indicated that several global drug manufacturers are preparing to coordinate with Afghanistan’s Ministry of Public Health on establishing or supporting local medicine production.
The aim is to improve the availability of essential medicines for humanitarian operations while also strengthening supply in domestic markets.
The proposed investments are expected to reduce Afghanistan’s reliance on imported pharmaceuticals and improve access to essential treatments, particularly in areas affected by economic hardship and ongoing humanitarian needs.
Alongside the pharmaceutical plans, UNICEF reaffirmed its continued commitment to humanitarian assistance in Afghanistan, including programmes addressing food insecurity, climate-related pressures, and support for returning migrants.
According to figures discussed in the meeting, $520 million has been requested from international donors to support returnees. Of this, $100 million is allocated for emergency assistance, while $420 million is intended for longer-term resettlement and reintegration support.
Afghan authorities welcomed the prospect of expanded pharmaceutical investment, with Din Mohammad Hanif stressing the importance of development cooperation, job creation, and increased international engagement to support economic stability.
Officials said strengthening the pharmaceutical sector could become a key pillar in Afghanistan’s broader efforts to improve healthcare resilience and move toward greater self-sufficiency in essential medical supplies.
Afghanistan has sharply increased imports of grain from Kazakhstan, with deliveries rising 2.3-fold between September 2025 and May 20, 2026, according to Kazakhstan’s Agriculture Ministry.
During that period, Kazakhstan exported around 3 million tons of grain to Afghanistan, compared to 1.3 million tons in the same period a year earlier.
The increase comes as Afghanistan’s Finance Ministry said this week that wheat imports into the country have risen by 345% following changes in customs tariffs aimed at supporting domestic production. According to the ministry, tariffs on imported wheat flour were gradually increased from 5% to 8%, while duties on wheat imports were reduced to encourage local flour processing.
Officials said nearly 198,000 tons of wheat were imported during the first two months of the 1405 fiscal year, compared to 44,000 tons during the same period last year. The ministry added that the policy has helped expand operations at domestic flour factories, increase local production, and create more job opportunities.
Mullah Abdul Ghani Baradar, the Deputy Prime Minister for Economic Affairs, on Thursday officially reopened the fifth section of the Hairatan–Mazar-e-Sharif railway line in northern Balkh province, marking another step in Afghanistan’s efforts to expand its rail infrastructure and regional trade connectivity.
Speaking at the reopening ceremony, Baradar praised the Ministry of Public Works for its efforts in developing Afghanistan’s railway network and expressed appreciation for Uzbekistan’s cooperation in the project.
He said economic and commercial ties between Afghanistan and Uzbekistan have strengthened significantly in recent years, adding that a joint committee led by the governor of Balkh and involving relevant institutions has been established to further enhance bilateral cooperation.
Officials said the newly reopened section of the railway is 70 kilometers long and includes 30 kilometers of branch lines, five railway stations, and the capacity to unload up to 50 wagons simultaneously.
The government said the reopening of the railway section is expected to improve the transportation of commercial goods, increase trade volume, and facilitate regional economic connectivity between Afghanistan and neighboring countries.
The Hairatan–Mazar-e-Sharif railway is considered one of Afghanistan’s most important trade corridors, linking the country to Central Asia through Uzbekistan.
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