Business
World Bank provides $200 million for Afghanistan to protect people, support businesses amid COVID-19
The World Bank Board of Executive Directors on Thursday approved a $200 million grant to help Afghanistan mitigate COVID-19 impacts and provide relief to vulnerable people and businesses.
In a statement released on Thursday, the World Bank said that the Afghanistan COVID-19 Response Development Policy Grant comprises $100 million from the International Development Association (IDA), the World Bank Group’s fund for the poorest countries, and $100 million from the Afghanistan Reconstruction Trust Fund (ARTF), managed by the World Bank on behalf of 34 donors.
خبر:بانک جهانی امروز بسته کمک مالی بلاعوض به ارزش ۲۰۰ میلیون دالر را به هدف مقابله با اثرات منفی اقتصادی و اجتماعی بحران ناشی از شیوع ویروس کووید-۱۹ در افغانستان؛ تامین نیازمندی های مردم آسیب پذیر و حمایت از تشبثات خصوصی، تصویب کرد. https://t.co/J9t4SlbArv pic.twitter.com/RJbZzN8Sl4
— World Bank South Asia (@WorldBankSAsia) July 10, 2020
The Afghanistan COVID-19 Response Development Policy Grant will support the government of Afghanistan to strengthen policies that promote faster recovery and keep basic infrastructure such as water, electricity, and telecommunications afloat and running, the statement said.
“The program will provide vital fiscal resources to manage the impacts of the pandemic in the context of rapidly slowing economic growth and declining government revenues,” said Henry Kerali, World Bank Country Director for Afghanistan.
“Policy actions supported by the program will both help mitigate the impacts of the current crisis on the poor and vulnerable and also lay critical foundations for longer-term recovery. The World Bank will continue to stand with the people of Afghanistan through this crisis,” Kerali added.
The World Bank said that the COVID-19 pandemic has had significant adverse health, social, and economic impacts in Afghanistan, shrinking the economy and driving down public revenue.
“The grant will support changes in regulations to increase access to finance for small and medium-sized enterprises, protect healthcare workers, and raise awareness on gender-based violence in schools,” it stated.
The organization added that it will also support plans to encourage students to return to school when educational institutions are to reopen after the COVID-19 crisis.
It comes as the number of COVID-19 cases has risen to 33,908 with 957 and 20,847 recoveries in Afghanistan.
Business
New Afghanistan-China transport corridor launched via Turkmenistan
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.
Business
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.
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.
Business
Afghanistan presses Chinese contractor over delays in Mes Aynak copper project
During the meeting, the MCCT president assured that pending operations would be implemented in line with contractual provisions.
Afghanistan’s Minister of Mines and Petroleum Hedayatullah Badri has raised concerns over delays in the Mes Aynak copper project during a meeting with Chinese officials and company representatives.
The talks brought together the Chinese ambassador, the head of MCCT, and the chairman of MJAM, the contractor responsible for the major mining project. Discussions focused on the lack of progress and the failure to implement key obligations outlined in the mining contract.
Officials reviewed outstanding commitments that had previously been formally communicated to the company, with Afghan authorities stressing that agreed mining activities have yet to be carried out.
During the meeting, the MCCT president assured that pending operations would be implemented in line with contractual provisions.
Badri emphasized that the contractor must fully comply with all terms and conditions of the agreement, as well as follow the ministry’s formal directives. He called for concrete and immediate steps to accelerate the project and ensure full implementation of planned activities.
Mes Aynak copper project
The Mes Aynak copper deposit, located about 40 kilometres southeast of Kabul, is one of the world’s largest untapped copper reserves, with an estimated 11 million tonnes of copper.
The project was awarded to a Chinese consortium led by state-run Metallurgical Corporation of China in 2007 and formally signed in 2008 under a 30-year lease. Valued at roughly $3–4 billion, it was the largest foreign investment in Afghanistan at the time.
The agreement included plans to develop the mine along with major infrastructure such as railways, roads, and power facilities, although several of these commitments were later delayed or renegotiated.
Despite its scale, the project has seen little progress over the past decade. Work slowed significantly around 2013–2014, with ongoing delays attributed to security concerns, lack of infrastructure, and disputes over contractual terms. The presence of a significant archaeological site at Mes Aynak — containing ancient Buddhist remains — has also complicated development, requiring extensive preservation efforts.
Afghan authorities have repeatedly raised concerns over the contractor’s failure to meet key obligations and timelines, while Chinese companies have cited security and logistical challenges as major obstacles.
Since the political changes in Afghanistan in 2021, the project has repeatedly come under focus, with officials pushing to revive stalled mining initiatives as part of broader economic recovery efforts. Chinese firms have signaled continued interest, but meaningful progress has yet to materialize.
The project remains strategically important, with the potential to generate significant revenue, create jobs, and support Afghanistan’s long-term economic development — if longstanding challenges can be resolved.
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