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IEA committed to Afghanistan-Iran Water Treaty

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Islamic Emirate of Afghanistan (IEA) officials said this weekend they are committed to abiding by the 1973 Afghanistan-Iran Water Treaty which stipulates the amount of water from Afghanistan that Iran is entitled to annually.

Former Afghan Prime Minister Musa Shafiq signed the water treaty in 1973 (1351 Persian Calendar). According to the treaty, Iran can receive 817 million cubic meters of water, carried by the Helmand River, per year.

Based on the deal, Iran can get 817 million cubic meters of water per year but due to the lack of water management over the past 25 years, Iran has reportedly received about three billion cubic meters annually.

“We are committed to that deal, which was signed in 1351, and we are trying to keep the process as it is [in the contract],” said Balil Karimi, deputy spokesman for the IEA.

Members of the private sector have raised concerns about the problem and said the lack of water management has not benefited Afghans.

“The management of Helmand River water is very important. The IEA should accelerate its efforts for self-sufficiency of Afghanistan and manage water,” said Khan Jan Alokozay, a member of the Chamber of Commerce and Investment.

Economic analysts on the other hand said that the Islamic Emirate of Afghanistan (IEA) should review the agreement with Iran and keep the current situation in Afghanistan in mind.

“The deal which was signed in 1351 was based on circumstances at that time; But now, Afghanistan needs more water, and Iran receives more water [than what it should],” said Taj Mohammad Talish, an economic analyst.

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Pakistan’s kinno exports falter as tensions with Afghanistan continue

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Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.

Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.

Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.

Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.

Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.

Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.

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Pezeshkian pledges to facilitate Iran-Afghanistan trade

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Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.

He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.

Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.

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Afghanistan-Kazakhstan banking ties discussed in Kabul meeting

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A Kazakh delegation led by the Deputy Minister of Finance of Kazakhstan met with Sediqullah Khalid, First Deputy Governor of Da Afghanistan Bank, to discuss ways of strengthening banking and economic cooperation between the two countries.

According to a statement issued by Da Afghanistan Bank, Khalid said the central bank is keen to establish regular and effective banking relations with Kazakhstan as part of broader efforts to expand bilateral trade.

He noted that enhanced banking cooperation would help facilitate trade, investment, and wider economic interaction between Afghanistan and Kazakhstan, while also contributing to financial stability at the regional level.

Members of the Kazakh delegation also emphasized the importance of developing banking and economic ties and expressed their readiness to expand joint cooperation.

The two sides further agreed to establish technical committees from both countries to hold expert-level discussions and advance practical steps for cooperation.

 
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