Business
Hundreds of factories face uncertain future amid ongoing economic crisis
Afghan businessmen on Thursday warned that hundreds of factories will be forced to close down if the US and the international community continue to impose economic sanctions against Afghanistan.
These sanctions include the freezing of over $9 billion in foreign reserves, by the US Treasury and the International Monetary Fund (IMF), four months ago.
Businessmen said their biggest problem is their inability to buy raw materials.
“We can’t tolerate the situation; the world is being cruel to Afghans. We will lodge complaints to the UN for our rights to be upheld,” said Sherbaz Kaminzada, head of the Chamber of Mines and Industries.
Businessmen also said that of the $9 billion in frozen foreign reserves, $2,5 billion of that is private sector money. They also blamed the international community for the current crisis in Afghanistan.
“We and the people of Afghanistan know who created problems, and want them to resolve the problems themselves,” said Sakhi Ahmad Paiman, deputy head of the Chamber of Mines and Industries.
Officials from logistics companies said that national and international organizations owe the sector billions of dollars.
“We served Afghanistan and provided services, our payments are outstanding because foreign reserves have been frozen. We hope that the money will be released soon,” said one logistics company employee, Mohammad Baz Ghairat.
Islamic Emirate of Afghanistan (IEA) officials said the international community is to blame for the economic crisis in the country.
“We called on the international community many times, but they have blocked Afghanistan’s assets; Afghans need it now,” said Inamullah Samangani, deputy spokesman for the IEA, adding that they are being blamed for something the US created.
Economic analysts on the other hand said that the US should release Afghanistan’s assets and provide opportunities for Afghan businessmen.
“We see problems growing day by day, the international community is the cause of this. They imposed sanctions against Afghanistan’s economic mechanism; they are responsible,” said Sayed Azim Mangal, an analyst.
Businessmen said if the sanctions are not lifted soon, they will appeal to the international courts to resolve the problem.
Ariana Afghan Airlines has announced a reduction in cargo service rates on the Kabul–Delhi route as part of efforts to support Afghanistan’s trade and export sector.
The airline said the new cargo rate has been set at $1.20 per kilogram, a move intended to make air freight more affordable and accessible for Afghan traders and exporters.
Bakht-ur-Rahman Sharafat, head of Ariana Afghan Airlines, said the decision is expected to play a significant role in increasing exports of domestic products and strengthening commercial activity between Afghanistan and India.
He added that Ariana will continue to introduce new measures in the future to improve its services and better meet the needs of its customers.
Thirteen trade and investment memorandums of understanding (MoUs) worth more than $100 million were signed between private sector representatives of Afghanistan and Uzbekistan during a conference held in Kabul on Saturday.
The conference, which brought together business leaders and officials from both countries, focused on expanding bilateral economic cooperation, increasing trade volume, and identifying new investment opportunities.
Speaking at the event, Nooruddin Azizi, Minister of Industry and Commerce of Afghanistan, said economic relations between Afghanistan and Uzbekistan have gained notable momentum in recent months. He stressed that Afghanistan is actively working to strengthen regional trade ties and create a more favorable environment for investors.
Azizi added that Afghanistan offers significant investment potential, particularly due to its available workforce and emerging opportunities across multiple sectors, and is ready to welcome joint ventures with foreign partners.
Officials from the Ministry of Industry and Commerce of Afghanistan said the government has facilitated around $2 billion in investment across various sectors over the past year, reflecting growing investor interest in the country’s economy.
The Uzbek delegation also reiterated its commitment to expanding economic relations with Afghanistan, describing the agreements as an important step toward deeper regional cooperation.
Amanbay Orynbayev, head of Uzbekistan’s Karakalpakstan delegation, said his country places strong emphasis on long-term, transparent, and reliable economic partnerships. He encouraged Afghan traders to take advantage of joint investment opportunities to access new regional markets.
The Afghan private sector welcomed the agreements, expressing hope that increased trade engagement and business exchanges will further strengthen economic ties between the two neighboring countries.
Officials noted that the total value of agreements signed between Afghanistan and Uzbekistan has now exceeded $1.5 billion. If implemented effectively, these commitments are expected to contribute to increased trade flows and broader economic growth in Afghanistan.
A new multimodal freight corridor linking China and Afghanistan via Turkmenistan has been officially launched, aiming to improve the speed and efficiency of overland cargo transportation across Central Asia.
According to the Turkmenistan Embassy in London, the country has become part of a newly established route designed to accelerate freight deliveries between China and Afghanistan.
The corridor, developed with the involvement of Uzbekistan Railways’ subsidiary Uztemiryulcontainer, covers approximately 7,400 kilometers and is expected to reduce transit time to around 30 days, improving overall logistics efficiency.
Under the new route, containers are transported by rail from China through the Altynkol station in Kazakhstan, continuing via Uzbekistan to a logistics hub in Bukhara. From there, cargo is transferred to road transport and moved across Turkmenistan before reaching Herat in Afghanistan.
Officials say the new system integrates rail and road networks into a unified logistics chain, making transport more predictable and efficient.
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