Business
Uzbekistan approves feasibility study agreement for Trans-Afghan Railway
The agreement builds on a tripartite document signed on July 17, 2025, which outlined cooperation on preparing a feasibility study for the Termez–Kharlachi railway corridor.
Uzbekistan has ratified an international agreement to prepare a feasibility study for the Naybabad–Kharlachi section of the Trans-Afghan Railway, formalizing its participation in the project.
President Shavkat Mirziyoyev signed a decree on February 4 approving the agreement.
The framework agreement involves the transport ministries of Uzbekistan, Afghanistan and Pakistan and provides for joint work on a feasibility study for the proposed railway line between Naybabad and Kharlachi. The section forms part of the wider Trans-Afghan Railway project aimed at strengthening transport links between Central and South Asia.
Under the decree, Uzbekistan’s Ministry of Transport has been designated as the competent authority responsible for implementing the agreement. The Ministry of Foreign Affairs has been tasked with notifying Kabul and Islamabad that Uzbekistan has completed the internal procedures required for the agreement to enter into force.
The agreement builds on a tripartite document signed on July 17, 2025, which outlined cooperation on preparing a feasibility study for the Termez–Kharlachi railway corridor.
The planned route is expected to run through Termez, Naybabad, Maidanshahr, Logar and Kharlachi, providing a transit corridor through Afghanistan.
The feasibility study will be commissioned by the Tripartite Project Office for the Development Strategy of International Transport Corridors under Uzbekistan Railways.
Established in Tashkent in May 2023, the office also operates branches in Kabul and Islamabad to coordinate the project.
First proposed in 2018, the Trans-Afghan Railway was initially projected to carry up to 20 million tons of cargo annually at a cost of about $5 billion. Cost estimates have since been revised.
In July 2022, Uzbekistan Railways cited an estimate of $4.6 billion with a construction period of up to five years, while Pakistan’s Ministry of Railways put the cost at $8.2 billion in December 2024.
More recent assessments have placed the overall cost at around $7 billion, with a public-private partnership under a Build-Operate-Transfer model among the options under consideration.
Business
ACCI chairman holds talks with U.S. and Russian representatives to boost trade and investment
The Chairman of the Afghanistan Chamber of Commerce and Investment (ACCI), Sayed Karim Hashemi, held separate meetings with Jeffrey Grieco, Chairman of the Afghanistan-American Joint Chamber of Commerce (AACC), and Dmitry Zhirnov, Russia’s ambassador to Afghanistan, to discuss expanding trade, investment, and economic cooperation.
During his meeting with Grieco at ACCI headquarters, Hashemi emphasized the importance of strengthening economic and commercial ties between the private sectors of Afghanistan and the United States. He called for greater cooperation to connect Afghan businesses with American companies and investors, including Afghan-Americans, and highlighted opportunities for increasing Afghan exports to the U.S. market.
Hashemi also stressed the need for direct engagement between companies, traders, and investors from both countries, as well as cooperation in technology transfer, management expertise, and support for entrepreneurs and small and medium-sized enterprises. He further called for efforts to facilitate the release of Afghanistan’s frozen assets, describing them as belonging to the Afghan people.
Grieco reaffirmed the Afghanistan-American Joint Chamber of Commerce’s commitment to working closely with ACCI and noted that several American companies have expressed interest in investing in Afghanistan’s mining sector. He also invited Hashemi to meet a large delegation of American traders and investors expected to attend an upcoming economic event in Uzbekistan, where Afghanistan’s investment opportunities could be presented.
In a separate meeting, Hashemi met with Russian Ambassador Dmitry Zhirnov and discussed ways to strengthen trade and investment relations between Afghanistan and Russia. The discussions focused on expanding commercial ties, exchanging trade delegations, attracting joint investments, and creating stronger links between the private sectors of the two countries.
Hashemi called for the deployment of Russian specialists to assist Afghanistan’s private sector and support the transfer of technical knowledge and industrial expertise. He also proposed enhancing cooperation between the chambers of commerce of both countries and exchanging lists of active traders, investors, and companies to develop practical market-driven initiatives for economic cooperation.
For his part, Ambassador Zhirnov said trade between Afghanistan and Russia had shown positive growth over the past year but remained below its full potential. He stressed the need for greater efforts to increase bilateral trade and promote practical economic cooperation.
The Russian envoy also pledged to support ACCI’s efforts at international conferences and forums by promoting Afghanistan’s investment opportunities and major economic projects to Russian businesses and investors. He emphasized that stronger ties between the private sectors of the two countries would play a key role in expanding broader economic relations between Afghanistan and Russia.
The meetings reflect ACCI’s ongoing efforts to attract foreign investment, expand international trade partnerships, and strengthen Afghanistan’s economic engagement with both regional and global partners.
Business
Afghan banks to finance Herat–Mazar railway project
Afghanistan’s central bank has announced that commercial banks will participate in financing the planned Herat–Mazar-e-Sharif railway project, a major infrastructure initiative estimated to cost nearly 55 billion afghanis ($780 million).
The announcement came during a joint meeting between officials from Da Afghanistan Bank, the Ministry of Finance and representatives of commercial banks, chaired by First Deputy Governor of Da Afghanistan Bank, Sediqullah Khalid.
According to the central bank, a financing mechanism for national development projects has recently been finalized in coordination with the Economic Deputy Office of the Prime Minister and the Ministry of Finance, creating a framework for commercial banks to invest directly in large-scale infrastructure projects.
Khalid said the banking sector could play a significant role in strengthening the national economy and accelerating the implementation of development projects through domestic investment.
He noted that discussions during the meeting focused on the Herat–Mazar-e-Sharif railway project, which is expected to stretch 657 kilometers across Afghanistan. The project is intended to boost economic growth, expand trade links and improve regional connectivity.
Khalid also said improved security conditions in the country have created a favorable environment for implementing major infrastructure projects, adding that the central bank would provide the necessary support and facilities to encourage private-sector participation.
Representatives of commercial banks expressed readiness to invest in the railway project, describing participation in national development initiatives as both an opportunity and a responsibility to contribute to Afghanistan’s economic growth.
Business
Uzbekistan reports strong surge in trade with global partners led by China
China accounts for 23.6% of total foreign trade turnover, followed by Russia with 17.2%, Kazakhstan with 6.9%, Turkey with 3.5%, and Afghanistan with 2.8%.
Uzbekistan has recorded a significant increase in foreign trade during January–April 2026, driven by expanding economic ties with China and steady growth across Central Asia, the Middle East, and Europe, according to official statistics.
Data from the National Statistics Committee show that China remained Uzbekistan’s largest trading partner, with bilateral trade reaching $6.23 billion, up sharply from $4.17 billion in the same period last year. Russia followed with $4.52 billion, while Kazakhstan ranked third at $1.81 billion.
Other key partners included Turkey, Afghanistan, South Korea, the United Arab Emirates, and France, with additional growth recorded in trade with Germany, India, Belarus, Kyrgyzstan, and several other countries.
The fastest-growing trade relationships were seen with the United Arab Emirates, Ireland, Afghanistan, and Vietnam, highlighting Uzbekistan’s continued efforts to diversify its external economic partnerships.
Overall, Uzbekistan now maintains trade relations with more than 175 countries. China accounts for 23.6% of total foreign trade turnover, followed by Russia with 17.2%, Kazakhstan with 6.9%, Turkey with 3.5%, and Afghanistan with 2.8%.
Exports remain largely dominated by goods, making up 65.3% of outbound trade, including industrial products, chemicals, manufactured goods, and food products, according to official data.
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