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Pashdan dam inaugurated, marking a milestone in Afghanistan’s economic development

Abdul Latif Mansoor, the Minister of Water and Energy, wrote on his X page that this dam was constructed at a cost of $117 million dollars from the country’s national budget.

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In a significant step toward bolstering Afghanistan’s water management and agricultural infrastructure, Deputy Prime Minister for Economic Affairs, Mullah Abdul Ghani Baradar, on August 14, 2025 – officially inaugurated the Pashdan Dam in Karukh District of Herat Province.

Speaking at the ceremony, Deputy PM Baradar highlighted that the inauguration coincides with the fourth anniversary of the Islamic Emirate of Afghanistan’s return to power—a period he described as marked by substantial achievements in implementing Islamic Sharia and advancing political and economic priorities.

“Last year, I pledged that the Islamic Emirate would complete the remaining works of the Pashdan Dam with full capacity. Today, I am proud to say that promise has been fulfilled,” he stated.

The Deputy PM emphasized the strategic importance of the dam for Herat Province, noting its potential to mitigate drought, support local farmers, and strengthen food security. He underscored that past occupations had left Afghanistan’s economy stagnant and heavily reliant on conditional foreign aid, but the Islamic Emirate is committed to building a self-reliant national economy.

Baradar also stressed that the Islamic Emirate supports both national and regional economic projects, citing the progress of the TAPI gas pipeline project in Herat as an example of fostering regional cooperation and stability. He reiterated the government’s policy of prudent natural resource management, ensuring respect for the rights of neighboring nations while using water resources to reduce poverty, unemployment, and migration.

Calling on investors, both domestic and international, the Deputy PM encouraged capital inflows not only into water and agriculture but also into other key economic sectors.

The Pashdan Dam project, now fully operational, boasts the capacity to store 54 million cubic meters of water, irrigate 13,000 hectares of agricultural land, and produce two megawatts of electricity, creating thousands of job opportunities.

Concluding his remarks, Deputy PM Baradar congratulated the Afghan people and expressed gratitude to government officials, engineers, technical staff, and laborers whose collective efforts made the project’s completion possible.

Abdul Latif Mansoor, the Minister of Water and Energy, wrote on his X page that this dam was constructed at a cost of $117 million dollars from the country’s national budget.

 

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‘Made in Afghanistan’ expo opens in Tashkent

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The Afghanistan Chamber of Commerce and Investment has announced that a major exhibition of Afghan products titled “Made in Afghanistan” is opening today (Wednesday) in Uzbekistan’s capital Tashkent.

According to the chamber, the expo—supported financially by the United Nations Development Programme—will run until Friday and aims to showcase Afghanistan’s production and export potential.

More than 60 booths have been set up by Afghan traders, featuring a wide range of products including carpets, dried and fresh fruits, saffron, pine nuts, cotton, precious and semi-precious stones, as well as beverages.

Officials from the chamber expressed hope that the expo will help expand trade relations between Afghanistan and countries in the region, particularly Uzbekistan.

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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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