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Cost of Trans-Afghan railway project estimated at $7 billion

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Uzbekistan, Afghanistan and Pakistan estimate the cost of construction of the Trans-Afghan railway at almost $7 billion, Kun.uz News Agency reported on Thursday.

Recently, the head of the Ministry of Transport, Ilkhom Mahkamov, held negotiations in Pakistan with local industry departments and large transport and logistics companies NLC-Logistics and TCS, the agency added.

The Uzbekistan-Afghanistan-Pakistan railway construction project can be implemented through a PPP in the Build-Operate-Transfer format.

The parties also agreed to develop multimodal transportation along the Trans-Afghan corridor, reduce transportation fees, simplify cargo transportation and speed up the construction of a railway through Afghanistan.

The Trans-Afghan Highway initiative was launched in 2018. At that time, the project with an annual transportation potential of 20 million tons of cargo was estimated at $5 billion.

Based on Kun.uz news agency report in July 2022, Uzbekistan Railways shared “Boshtransloyikha” calculations. The institute put the estimated cost of building the railway at $4.6 billion, and the project will take 5 years to complete.

Last December, Pakistan estimated the construction of the railway between Pakistan and Uzbekistan at $8.2 billion.

This comes after a trilateral trade meeting between Afghanistan, Pakistan and Uzbekistan was held in Islamabad on Tuesday and the participants emphasized the need to strengthen economic relations between the three countries.

The meeting was attended by Nuruddin Azizi, Acting Minister of Industry and Commerce of Afghanistan, Gohar Ejaz, Minister of Commerce of Pakistan, and Jamshid Khodjaev Abdukhakomovich, Deputy Prime Minister of Uzbekistan.

The Afghan Embassy in Islamabad said that discussions centered around advancing the trans-Afghan railway project, trilateral transit and trade, challenges to regional connectivity and other matters.

The minutes of the meeting, which was signed between these countries, focused on strengthening trilateral economic relations and regional connectivity through trade development, more transit facilities, increasing joint investments, reducing costs, transportation facilities, digitalization of customs systems, strengthening and expanding the banking system, food security, issuing visas, and also solving transit problems and strengthening trilateral transit.

“This is a significant step towards strengthening of economic ties and regional connectivity. Bright prospects for trade, investment, and connectivity lie ahead for mutual benefit of three countries,” Gohar Ejaz, the Minister of Commerce of Pakistan, said on X.

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Afghani strengthens nearly 10% against US dollar amid banking sector reforms

The bank said it has expanded oversight of financial institutions and private lenders, improving transparency and promoting more consistent standards across the sector.

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Afghanistan’s central bank, Da Afghanistan Bank, says the national currency has appreciated by 9.93% against the US dollar during the year 1404, citing steady progress in the country’s financial and banking systems.

Officials attributed the gains to cautious monetary policies that have helped stabilise the Afghani against major global currencies while also boosting its value against the dollar.

The bank said it has expanded oversight of financial institutions and private lenders, improving transparency and promoting more consistent standards across the sector.

As part of efforts to better manage liquidity, authorities also collected and destroyed worn-out banknotes in circulation. At the same time, officials reported growth in electronic banking, with digital payment usage rising in recent months.

Central bank spokesperson Haseebullah Noori said initiatives are underway to broaden access to banking services nationwide, including the wider rollout of Islamic banking options.

Analysts welcomed the stabilisation efforts but stressed the need to address ongoing challenges facing domestic banks, including the impact of international financial sanctions on Afghanistan.

They added that expanding Islamic banking could help draw more savings into the formal financial system, noting that a significant share of personal wealth remains outside banks. Bringing those funds into the sector, they said, could inject billions of Afghanis into the economy and further support financial stability.

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Uzbekistan delivers over 290 tons of aid to Afghanistan

The assistance, provided ahead of Eid al-Fitr, is intended to support vulnerable communities while reinforcing ties between the neighboring countries.

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Uzbekistan has delivered more than 290 tons of humanitarian aid to Afghanistan, according to the country’s Ministry of Foreign Affairs.

The assistance, provided ahead of Eid al-Fitr, is intended to support vulnerable communities while reinforcing ties between the neighboring countries.

The shipment includes essential food supplies such as flour, rice, wheat, vegetable oil, instant meals, pasta, and confectionery. An official handover ceremony was held in the border town of Hairatan.

Local officials, including Balkh province representatives and authorities from Hairatan, expressed appreciation for the continued support, acknowledging Uzbekistan’s efforts to assist the Afghan people.

Among those present at the ceremony were Uzbekistan’s Ambassador to Afghanistan, Oybek Usmanov, and Surkhandarya regional governor Ulugbek Kosimov.

The aid delivery underscores Uzbekistan’s ongoing humanitarian engagement and its broader efforts to promote regional cooperation and stability.

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Turkmenistan, Afghanistan discuss steps to speed up land acquisition for TAPI pipeline

By the end of the year, the vessels are expected to deliver about 11,700 pipes as part of preparations for construction of the TAPI pipeline.

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Officials from Turkmenistan and Afghanistan have held talks aimed at accelerating land acquisition for the long-planned Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline, according to Afghanistan’s Ministry of Agriculture, Irrigation, and Livestock.

The issue was discussed during a meeting between TAPI project head Murad Amanov, Afghanistan’s acting Minister of Agriculture, Irrigation, and Livestock Mullah Attaullah Omari, and Turkmenistan’s ambassador to Afghanistan Hoja Ovezov.

Amanov briefed Afghan officials on recent progress and emphasized the need to accelerate procedures related to land acquisition and the determination of land prices in line with the framework agreement signed by the four participating countries.

Meanwhile, vessels operated by the Azerbaijan Caspian Shipping Company (ASCO), part of AZCON Holding, have begun transporting pipes for the project. The shipments are being carried from the Port of Baku to the Turkmenbashi International Seaport.

By the end of the year, the vessels are expected to deliver about 11,700 pipes as part of preparations for construction of the TAPI pipeline.

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