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EU Commission pledges €126 million for humanitarian aid in Pakistan, Iran, and Afghanistan

The European Commission noted that the EU and its member states remain the world’s leading humanitarian aid donors.

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The European Commission has committed €126 million ($137 million) to support humanitarian operations in Pakistan, Iran, and Afghanistan in 2026, part of an initial €1.9 billion aid package designed to address global crises amid funding shortfalls from other major donors.

The allocation comes as an estimated 239 million people worldwide require humanitarian assistance, the Commission said in a statement on Wednesday. In addition, over €415 million has been reserved to respond to sudden-onset emergencies and to maintain strategic supply chains.

EC Commissioner for Equality, Preparedness, and Crisis Management Hadja Lahbib announced the commitment at the World Economic Forum in Davos, emphasizing the need for private sector engagement and innovative solutions to complement public funding. “The humanitarian system is under unprecedented strain, and public funding alone will not meet the scale of the crisis,” she said.

“Europe is taking action, committing an initial €1.9 billion for 2026. As the largest humanitarian donor, we are taking our political responsibility and leading the global response,” Lahbib added. She will also co-host an event at the WEF on “New Alliances in Aid and Development” to explore partnerships that enhance global humanitarian efforts.

The European Commission noted that the EU and its member states remain the world’s leading humanitarian aid donors.

Rising Displacement

Meanwhile, the UN Refugee Agency (UNHCR) reported in its 2025 Impact Report that a combination of new emergencies and protracted crises forced millions from their homes last year. By mid-2025, approximately 117.3 million people were forcibly displaced, a slight decrease from the previous year. However, projections indicate that the global displaced population—including returnees and stateless persons—could surpass 136 million by the end of 2026.

UNHCR warned that severe funding cuts have affected all aspects of its operations, including emergency responses, forcing the agency to scale down both activities and staff by one-third.

The agency stressed that without increased and flexible funding, its ability to respond rapidly to new crises will be severely limited, just as global humanitarian needs continue to grow.

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Afghanistan’s Swiss fund grows to $4.2 billion: Ahadi

Ahadi said the fund has not been used and will remain intact until conditions allow for its transfer to Da Afghanistan Bank, Afghanistan’s central bank.

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Afghanistan’s sovereign assets held in Switzerland have grown to $4.2 billion after generating approximately $700 million in investment returns, according to Anwar-ul-Haq Ahadi, a member of the Special Trust Fund for Afghanistan (STFA).

Speaking during the 70th online conference of the Association of Afghan Scholars and Specialists on Sunday, July 26, 2026, Ahadi said the fund has not been used and will remain intact until conditions allow for its transfer to Da Afghanistan Bank, Afghanistan’s central bank.

The conference was held under the theme, “Afghanistan’s Economic and Political Situation: Realities and Future Outlook.”

Ahadi said none of the assets have been spent since the fund was established, emphasizing that the money is being preserved for the benefit of the Afghan people.

Commenting on the remaining $3.5 billion in Afghan sovereign assets frozen in the United States, Ahadi said two U.S. courts have already ruled in Afghanistan’s favor. He expressed confidence that the third and final court would also order the release of the funds, allowing the assets to remain protected for the Afghan people.

The Swiss-based fund was established to safeguard a portion of Afghanistan’s overseas sovereign assets while efforts continue to resolve the legal status of the remaining reserves frozen in the United States.

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Afghanistan, Uzbekistan ink 22 trade agreements worth over $200 million

Uzbek Deputy Prime Minister Jamshid Khodjayev welcomed the growing ties between the two countries, describing Afghanistan as a country undergoing significant development through major infrastructure projects.

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Afghanistan and Uzbekistan signed 22 trade memorandums of understanding (MoUs) worth more than $200 million during the Afghan-Uzbek Business Forum held in Kabul, as the two countries pledged to expand economic cooperation and boost bilateral trade.

The forum brought together Afghanistan’s Minister of Industry and Commerce Nooruddin Azizi, Uzbekistan’s Deputy Prime Minister Jamshid Khodjayev, Afghanistan’s ministers of Mines and Transport, the governors of Uzbekistan’s Fergana and Tashkent regions, business leaders, and representatives of the private sector from both countries.

Addressing the gathering, Azizi said relations between Afghanistan and Uzbekistan had reached a new high following the visit of a high-level Uzbek delegation accompanied by around 300 private-sector representatives.

He said both countries aim to increase bilateral trade to $5 billion, adding that achieving this goal would require closer economic and commercial cooperation.

Azizi also highlighted investment opportunities in Afghanistan, saying the return of Afghan migrants has increased the need for job creation. He encouraged investors from both countries to invest in Afghanistan.

The minister said about 10,000 tonnes of Afghan cotton had already been exported to Uzbekistan on a trial basis and announced that Uzbekistan has committed to purchasing 100,000 tonnes of Afghan cotton.

Uzbek Deputy Prime Minister Jamshid Khodjayev welcomed the growing ties between the two countries, describing Afghanistan as a country undergoing significant development through major infrastructure projects.

He said Uzbekistan has introduced measures to facilitate trade, including opening new transport routes, offering preferential tariffs, accelerating cargo movement, and establishing logistics centers to support cross-border commerce.

Khodjayev added that Afghanistan’s economic potential could play an important role in expanding trade relations between the two neighboring countries.

The forum also featured remarks from Sayed Karim Hashemi, chairman of the Afghanistan Chamber of Commerce and Investment, and the governor of Uzbekistan’s Fergana region, who both emphasized the importance of strengthening economic and trade cooperation.

The event concluded with the signing of 22 trade agreements worth more than $200 million between private-sector representatives from Afghanistan and Uzbekistan.

 
 
 
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Afghanistan, Uzbekistan discuss expanding transit cooperation and advancing railway projects

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Afghanistan’s Minister of Public Works Mohammad Isa Thani and Uzbekistan’s Deputy Prime Minister Jamshid Khodjayev have discussed ways to expand economic and transit cooperation, as well as advance joint infrastructure projects between the two countries.

During their meeting in Kabul, the two sides discussed the timeline for launching feasibility studies for the Afghan-Trans railway project and emphasized the importance of accelerating progress on the regional connectivity initiative.

The development of the Torghundi port was also a key focus of the talks. Khodjayev expressed Uzbekistan’s readiness to invest in expanding the port, describing it as an important step toward strengthening trade and transit links between Afghanistan and Uzbekistan.

The two sides also reviewed the proposed Herat–Mazar-e-Sharif railway project, with the Uzbek side expressing interest in investing in the initiative.

Increasing the volume of commercial cargo passing through the Hairatan port and creating better facilities for traders were among other issues discussed. Officials stressed the need to boost freight movement, enhance transit cooperation, and facilitate faster trade flows between the two countries.

The meeting also covered the transportation of goods via the Salang Highway. Afghanistan’s Minister of Public Works said major reconstruction work on the highway is progressing rapidly.

Mohammad Isa Thani said Afghanistan now provides a suitable environment for investment and that Uzbek companies can invest and operate in various sectors in accordance with Afghanistan’s laws and regulations.

He also reaffirmed the Ministry of Public Works’ support for joint projects aimed at strengthening cooperation between the two countries.

The meeting concluded with both sides reaffirming their commitment to expanding economic ties, improving transit connectivity, and strengthening bilateral relations, describing the cooperation as beneficial to the shared interests of Afghanistan and Uzbekistan.

 
 
 
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