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World Bank approves $85 million in grants for Afghanistan 

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The World Bank has approved two grants totaling almost $85 million from the International Development Association (IDA), as part of a $393 million financial package to help Afghanistan overcome the impact of the COVID-19 pandemic and improve access to clean water, sanitation, and public services. 
 
In a statement issued on Friday, the IDA said COVID-19 has had a severe impact on Afghanistan both socially and economically. 
 
“As they face the pandemic and ongoing conflict, many poor and vulnerable Afghan households subsist on daily earnings, have little or no access to water, sanitation, or healthcare,” the statement read. 
 
In line with this, the IDA has granted $85 million as part of two financial packages, which include additional support from the Afghanistan Reconstruction Trust Fund (ARTF), a multi-donor fund managed by the World Bank on behalf of 34 donors. 
 
The IDA stated the financial packages are made up of $50 million from the association for the Afghanistan Water, Sanitation, Hygiene, and Institutional Support (A-WASH) Project. 
 
The grant will total $200 million, including $150 million from the ARTF and the project will improve access to and quality of water supply in Kabul, Kandahar, and Herat and strengthen the capacity of Afghanistan Urban Water Supply and Sewerage Corporation (AUWSSC) to deliver sustainable services and contribute to national efforts to manage COVID-19 and other disasters.
 
For the Second Additional Financing of the Citizens’ Charter Afghanistan Project (CCAP), the IDA has given $35 million. This grant will total $193 million, including $158 million from the ARTF. 
 
The project aims to improve the delivery of core infrastructure, emergency support, and social services to communities through strengthened Community Development Councils (CDCs). 
 
Through this added financing, the Citizens’ Charter Project will expand its service delivery to 10 new cities across Afghanistan, continue to respond to the COVID-19 crisis among communities, provide critical assistance to Kuchi communities, increase employment through public works, initiate peace projects in rural and urban areas, and continue to strengthen gender equality. 
“Access to clean water, hygiene, and basic services is essential to prevent the transmission of infectious diseases, including COVID-19,” said Henry Kerali, World Bank Country Director for Afghanistan. 
 
“The new grant under the A-WASH project will address the core health and water needs of Afghan communities. The additional grant for the Citizens’ Charter Afghanistan Project will build on the tremendous results in delivering services to communities recent years and expand access for more Afghans,” he said. 

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Afghanistan, Uzbekistan sign 13 trade MoUs worth over $100 million

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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.

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New Afghanistan-China transport corridor launched via Turkmenistan

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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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Uzbekistan launches new cargo corridor linking China and Afghanistan

From Uzbekistan, shipments will be transferred onto trucks and transported across Turkmenistan en route to Herat in western Afghanistan.

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Uzbekistan’s national railway operator has announced the launch of a new multimodal freight route designed to strengthen logistics links between China and Afghanistan via Central Asia.

According to Trend news agency the new corridor will see container used goods transported by rail from China through Kazakhstan’s Altynkol station into Uzbekistan. Cargo will then be handled at the Bukhara logistics centre, operated by Uztemiryulkonteyner, before continuing its journey by road.

From Uzbekistan, shipments will be transferred onto trucks and transported across Turkmenistan en route to Herat in western Afghanistan.

Previously, freight along this trade corridor was largely routed via sea from China to Iran’s Bandar Abbas port, before continuing overland into Afghanistan. The new overland alternative is expected to streamline logistics and improve reliability.

Covering approximately 7,400 kilometres, the route is projected to reduce transit times to around 30 days, offering a more efficient option for regional cargo movement between East Asia and South Asia.

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