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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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Uzbekistan, Kazakhstan target Afghanistan in push to expand regional trade

According to Uzbek media, the initiative was discussed during the Uzbek-Kazakh Business Forum in Tashkent.

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Uzbekistan and Kazakhstan are seeking to deepen economic cooperation and jointly expand into new regional markets, including Afghanistan, as part of broader efforts to strengthen trade and investment across Central Asia and the Middle East.

According to Uzbek media, the initiative was discussed during the Uzbek-Kazakh Business Forum in Tashkent, where business leaders and trade associations from both countries explored opportunities to promote their products in third-country markets, particularly Afghanistan, Syria and Iraq.

Afghanistan featured prominently in the discussions, with participants noting that Kazakhstan’s exports to Afghanistan reached nearly $500 million during the first seven months of 2025—almost matching the country’s total exports to Afghanistan for all of 2024. Officials said the long-term goal is to increase exports to $3 billion.

The forum also highlighted growing imports of mineral raw materials from Afghanistan. Participants discussed a proposed agreement to supply Afghan zinc ore to the Almalyk Mining and Metallurgical Complex in Uzbekistan.

Beyond Afghanistan, delegates examined emerging business opportunities in Syria and Iraq, where reconstruction efforts are expected to drive demand for food products, construction materials and industrial goods.

The forum also focused on improving regional logistics. Officials discussed using available capacity on Turkish freight trucks transiting Uzbekistan, a move expected to reduce transport costs and improve access to regional markets.

At the conclusion of the forum, both sides agreed to organise joint business missions to third-country markets, including Aleppo, Syria, in late September and Erbil, Iraq, in early October, with the aim of strengthening commercial partnerships and identifying new investment opportunities.

The discussions reflect growing economic cooperation between Uzbekistan and Kazakhstan as both countries seek to expand regional connectivity, diversify exports and strengthen trade links with neighbouring markets, including Afghanistan.

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Uzbekistan’s Fergana region strengthens economic ties with Afghanistan

The meeting followed a Fergana delegation’s visit to Afghanistan on July 26-27, during which officials and business representatives held talks in Kabul and Mazar-i-Sharif.

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Uzbekistan’s Fergana region is moving to deepen economic cooperation with Afghanistan after officials and business leaders agreed to fast-track joint investment projects and expand bilateral trade.

According to a statement from the Fergana Regional Administration, Governor Khayrullo Bozorov met with leading Afghan business figures, including Emerald Diamond Trading Director Abdul Hamid Anyuri, Kam Air Director Atilla Azimi, Tojmahal Petroleum Director Abdul Latif Nawruzi, and their regional partners to discuss practical measures for strengthening economic ties.

The meeting followed a Fergana delegation’s visit to Afghanistan on July 26-27, during which officials and business representatives held talks in Kabul and Mazar-i-Sharif. The delegation also inaugurated Fergana Trade Houses in both cities to promote trade and commercial cooperation.

“The parties agreed to accelerate the implementation of joint investment projects, increase bilateral trade and elevate cooperation to a new level,” the regional administration said.

Discussions focused on turning agreements reached during the Afghanistan visit into practical projects, identifying new investment opportunities, and expanding trade between the two sides. Afghan business representatives expressed interest in working with Fergana companies in key sectors including trade, agriculture, aviation, energy and logistics, while presenting several new investment initiatives.

Bozorov reaffirmed Fergana’s commitment to strengthening economic relations with Afghanistan, saying the regional administration stands ready to support joint projects and create favourable conditions for closer business cooperation.

The regional administration said the meeting reflects growing momentum in economic engagement between Uzbekistan and Afghanistan, with both sides seeking to expand cross-border trade, attract investment and develop new commercial partnerships as part of broader efforts to strengthen regional economic connectivity.

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Afghanistan invites Iranian investors to expand economic cooperation

Discussions focused on expanding private-sector cooperation, increasing joint investment, and boosting bilateral trade between the two countries.

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Afghanistan has invited Iranian investors to explore business opportunities and participate in joint economic projects as the country seeks to strengthen investment and trade ties with its western neighbor.

Kamaluddin Tawhidi, head of the Afghanistan-Iran Joint Chamber of Commerce, made the appeal during a visit to Iran, where he attended the “Economic Cooperation Opportunities with Afghanistan” conference in Alborz Province, according to Iran’s state broadcaster.

Speaking at the event, Tawhidi highlighted Afghanistan’s investment potential and encouraged Iranian businesses to take advantage of opportunities across a range of economic sectors.

Discussions focused on expanding private-sector cooperation, increasing joint investment, and boosting bilateral trade between the two countries.

Tawhidi said stronger economic partnerships could create new business opportunities and support broader regional economic growth.

The meeting comes as Afghanistan continues efforts to attract foreign investment and deepen economic cooperation with neighboring countries.

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