Economy of Afghanistan
Template:Short description Template:Pp Template:Infobox economy The economy of Afghanistan is listed as the 124th largest in the world in terms of nominal gross domestic product (GDP), and 102nd largest in the world in terms of purchasing power parity (PPP). With a population of around 41 million people, Afghanistan's GDP (nominal) stands at $14.58 billion as of 2021, amounting to a GDP per capita of $363.7 (according to a World Bank report).<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Its annual exports exceed $2 billion,<ref name="TOLO-182736"/> with agricultural, mineral and textile products accounting for 94% of total exports.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The nation's total external debt is $1.4 billion as of 2022.<ref name="TOLOnews-business-179626">Template:Cite news</ref><ref name="gross external debt">Template:Cite news</ref>
The Afghan economy continues to improve due to the influx of expats, establishment of more trade routes with neighboring and regional countries,<ref name="Over 193.9 billion afs revenue collected last year: MoF"/><ref name="Kazakhstan’s deputy PM visits Kabul, calls for expansion of trade ties"/> and expansion of the nation's agriculture, energy and mining sectors.<ref name="Chinese firm offers IEA $10 billion investment in lithium reserves"/><ref name="TOLO-180913"/><ref>Template:Cite news</ref> The billions of dollars in assistance that came from expats and the international community saw this increase when there was more political reliability after NATO became involved in Afghanistan.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
Despite holding over one trillion dollars in proven untapped mineral deposits, Afghanistan remains one of the least developed countries in the world. Its unemployment rate is over 23%<ref name="CIAWFAF"/> and about half of its population lives below the poverty line.<ref name="CIAWFAF"/><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The main factor behind this has been the continuous war in the country, which deterred business investors and left much of the population fighting among each other instead of catching up with the rest of the world.<ref>Template:Cite news</ref> Afghanistan has long sought foreign investment in order to improve its economy.<ref>Template:Cite news</ref> The population of Afghanistan increased by more than 50% between 2001 and 2014, while its GDP grew eightfold.<ref>Template:Cite book cf. {{#invoke:citation/CS1|citation |CitationClass=web }}</ref> After the U.S. withdrawal from Afghanistan and the Taliban's return to power in 2021, the Biden administration decided to confiscate or withhold $9.5 billion worth of assets from the Afghanistan Central Bank to stop the Taliban from accessing it.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref>
The official currency of Afghanistan is the afghani (AFN), which has an exchange rate of around 70 afghanis to 1 United States dollar.<ref name="Afghani reverses to 7-year old value against US dollar"/><ref name="Business"/><ref name="Today’s Currency Rate"/> The country has a central bank called Da Afghanistan Bank (DAB). A number of local banks also operate in the country, including the Afghanistan International Bank, Azizi Bank, New Kabul Bank and Pashtany Bank.
Economic historyEdit
When Afghanistan was ruled by Emir Abdur Rahman Khan (1880–1901) and his son Habibullah Khan (1901–1919), a great deal of commerce was controlled by the government. These monarchs were eager to develop the stature of government and the country's military capability, and so attempted to raise money by the imposition of state monopolies on the sale of commodities and high taxes. This slowed the long-term development of Afghanistan during that period. Western technologies and manufacturing methods were introduced at the command of the Afghan ruler, but in general only according to the logistical requirements of the growing army. An emphasis was placed on the manufacture of weapons and other military material. This process was in the hands of a small number of foreign experts invited to Kabul by the Afghan kings.<ref name="Helmand's Golden Age"/> Otherwise, it was not possible for non-Afghans, particularly westerners, to set up large-scale enterprises in Afghanistan during that period.<ref>Asian Affairs Journal, Making Money in Afghanistan: The First Western Entrepreneurs 1880-1919, Vol 3, 2012.</ref>
In the post-independence period, DAB strongly financed the cultivation of cotton; at one point, the Spinzar Cotton Company in Kunduz Province was one of the largest providers of cotton in the world, most of which were exported to the Soviet Union. Fruits were mainly exported to British-controlled India.<ref>Template:Cite book</ref>
The first prominent plan to develop Afghanistan's economy in modern times was the Helmand Valley Authority project of 1952, modeled on the Tennessee Valley Authority in the United States, which was expected to be of primary economic importance.<ref name=tudor>Report on Development of Helmand Valley, Afghanistan, 1956, Tudor Engineering Company</ref> Glenn Foster, an American contractor working in Afghanistan in the 1950s, stated this about the Afghan people:<templatestyles src="Template:Blockquote/styles.css" />
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Afghanistan began facing severe economic hardships during the 1979 Soviet invasion and ensuing civil war destroyed much of the country's limited infrastructure, and disrupted normal patterns of economic activity. Eventually, Afghanistan went from a traditional economy to a centrally planned economy up until 2002 when it was replaced by a free market economy.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Gross domestic product has fallen substantially since the 1980s due to disruption of trade and transport as well as loss of labor and capital. Continuing internal strife severely hampered domestic efforts to rebuild the nation or provide ways for the international community to help.
According to the International Monetary Fund, the Afghan economy grew 20% in the fiscal year ending in March 2004, after expanding 30% in the previous 12 months. The growth was mainly attributed to United Nations assistance. Billions of dollars in international aid had entered Afghanistan from 2002 to 2021. A GDP of $4 billion in fiscal year 2003 was recalculated by the IMF to $6.1 billion, after adding proceeds from opium production. Mean graduate pay was $0.56 per man-hour in 2010. The country expects to be self sufficient in wheat, rice, poultry and dairy production by 2026.<ref>Template:Cite news</ref><ref name="TOLO-180913">Template:Cite news</ref>
The recent reestablishment of the Taliban government led to temporary suspension of international development aid to Afghanistan.<ref>Template:Cite news</ref> The World Bank and International Monetary Fund also halted payments during that period.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> In this regard, Taliban's spiritual leader Hibatullah Akhundzada stated, "The economy of a country is built when its people work together and do not rely on foreign aid[.]"<ref>Template:Cite news</ref> The Biden administration froze about $9 billion in assets belonging to the DAB, which was intended to block the Taliban from accessing the money.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> The recent droughts, earthquakes and floods in the country have created further adverse economic situation for many residents.<ref>Template:Cite news</ref> The Ministry of Finance has collected over $2 billion in 2022.<ref name="Over 193.9 billion afs revenue collected last year: MoF">Template:Cite news</ref>
The GDP of Afghanistan is estimated to have dropped by 20% following the Taliban return to power. Following this, after months of free-fall, the Afghan economy began stabilizing, as a result of the Taliban's restrictions on smuggled imports, limits on banking transactions, and UN aid. In 2023, the Afghan economy began seeing signs of revival. This has also been followed by stable exchange rates, low inflation, stable revenue collection, and the rise of trade in exports.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> In the third quarter of 2023, the Afghani rose to be the best performing currency in the world, climbing over 9% against the US dollar.<ref>Template:Cite news</ref>
Agriculture and livestockEdit
Template:Further Agriculture remains Afghanistan's most important source of employment: 60-80 percent of Afghanistan's population works in this sector, although it accounts for less than a third of GDP due to insufficient irrigation, drought, lack of market access, and other structural impediments. Most Afghan farmers are primarily subsistence farmers.<ref>Template:Citation-attribution</ref>
Afghanistan produced in 2018:
- 3.6 million tons of wheat;
- 984 thousand tons of grape (18th largest world producer);
- 615 thousand tons of potato;
- 591 thousand tons of vegetable;
- 381 thousand tons of watermelon;
- 352 thousand tons of rice;
- 329 thousand tons of melon;
- 217 thousand tons of apple;
- 150 thousand tons of onion;
- 106 thousand tons of maize;
- 56 thousand tons of barley;
- 47 thousand tons of peach;
In addition to smaller productions of other agricultural products.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Afghanistan produces around 1.5 million tons of fresh fruits annually, which could be increased significantly.<ref>Template:Cite news</ref> It is known for producing some of the finest fruits, especially pomegranates and grapes as well as sweet melons and mulberries.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Other fruits grown in the country include apples, apricots, cherries, figs, kiwi, oranges, peaches, pears, persimmons, plums, and strawberries.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> As of 2022, farming is entirely organic and steadily increasing.<ref name="TOLO-180913"/><ref>Template:Cite news</ref><ref>Template:Cite news</ref> There are over 5,000 greenhouses in the country.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:YouTube (Jan. 15, 2017)</ref>
The northern and western Afghan provinces are long known for pistachio cultivation.<ref>Template:Cite videoTemplate:Cbignore</ref><ref>Template:Cite videoTemplate:Cbignore</ref><ref>Template:Cite videoTemplate:Cbignore</ref> In recent years, farmers in the southern provinces began growing American pistachio trees.<ref>Template:Cite videoTemplate:Cbignore</ref> Provinces in the east of the country, particularly Khost and Paktia, are famous for pine nuts.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> The northern and central provinces are also famous for almonds and walnuts, as well as for kangina, a method of storing grapes in mud.<ref>Hejazi, Ziaurrahman; Nawakht, Noor Agha; Hedayat, Yar Mohammad; Giordani, Edgardo (2023-03-01). "Styrofoam Packaging as Alternative of the Afghan Traditional "Gangina" Container to Extend Quality of 'Taifi' Grapes in Room Temperature Storage". Journal of Packaging Technology and Research. 7 (1): 35–41. doi:10.1007/s41783-022-00148-1. ISSN 2520-1042. S2CID 255079194.</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The Bamyan Province in central Afghanistan is known for growing superior quality potatoes, which produced 370,000 tons in 2020. Nangarhar, Kunar and Laghman are the only provinces in the country where large farms of grapefruits, lemons, limes, and oranges can be found.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> Nangarhar also has farms of dates, peanuts, olives, and sugarcane.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref name="sugarcane" /> Cultivation of these products have spread to other provinces of the country.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> Other agricultural products such as avocados, bananas and pineapples have recently been planted in the provinces of Balkh, Helmand, Nangarhar, and Paktia.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Afghanistan is listed as the 54th largest vegetables producing country. Most of its vegetables are for domestic consumption and include beans, broccoli, cabbages, carrots, cauliflowers, chickpeas, coriander, corns, cucumbers, eggplants, leeks, lettuces, okras, onions, peppers, potatoes, pumpkins, radishes, rhubarb, spinach, tomatoes, turnips, and zucchinis. Wheat and cereal production is Afghanistan's traditional agricultural mainstay.<ref>Template:Cite news</ref> The nation is nearing self-sufficiency in grain production. It requires an additional 1 to 3 million tons of wheat to become self-sufficient, which is predicted to be accomplished in the near future.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
Livestock in Afghanistan mainly include cattle, sheep, and goats.<ref>Template:Cite videoTemplate:Cbignore</ref> Poultry farming is widespread in the warmer parts of the country.<ref>Template:Cite news</ref><ref>Template:Cite videoTemplate:Cbignore</ref><ref>Template:Cite news</ref> The Habib Hassam Poultry Complex is located in Jalalabad.<ref>Template:YouTube</ref>
Arable land in Afghanistan was reported to be over 7.5 million hectares.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> Wheat production had stood at about 5 million tonnes in 2015,<ref name="usda-2015">{{#invoke:citation/CS1|citation |CitationClass=web }}.</ref> nurseries held 119,000 hectares of land, and grape production is at 615,000 tonnes. It was reported that cotton production has jumped to 500,000 tons.<ref>Template:Cite news</ref> Around Template:Cvt of farm land in Afghanistan is used to cultivate saffron,<ref>Template:Cite news</ref> mostly in the west, north and south of the country.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> Sugarcane is currently grown on Template:Cvt of land,<ref name="sugarcane">Template:Cite news</ref> and asafoetida on nearly Template:Cvt of land.<ref>Template:Cite news</ref>
ForestryEdit
Template:Further According to a 2010 report, only about 2.1% (or Template:Cvt) of Afghanistan is forested.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> This can be significantly increased by planting trees, including in the non-rocky hills and mountains which trap underground water.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Some steps have been taken in recent years in planting trees in the urban areas all across Afghanistan.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> Even the Taliban spiritual leader has recently called for planting more trees.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> Felling has been made illegal nationally.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
FishingEdit
Template:Further Afghanistan is landlocked with its citizens having no direct access to an ocean. The country has many lakes, ponds, reservoirs, rivers, springs, streams, etc.,<ref>Template:Cite news</ref> which make it a suitable climate for fish farming.<ref>Template:Cite news</ref> Historically, fish constituted a smaller part of the Afghan diet because of the unavailability of modern fish farms. Fishing only took place in the lakes and rivers, particularly in the Amu, Helmand and Kabul rivers.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Consumption of fish has increased sharply due to the establishment of many fish farms.<ref>Template:Cite news</ref> There are over 2,600 of them in the country.<ref>Template:Cite news</ref> The largest ones are at the national reservoirs, which supply fish eggs to smaller fish farms.<ref>Template:Cite news</ref>
Trade and industryEdit
Template:Further Afghanistan's geographical location makes it economically secured.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref name="Kazakhstan’s deputy PM visits Kabul, calls for expansion of trade ties">Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> The Lapis Lazuli corridor connects Afghanistan with Turkmenistan and ultimately ends somewhere in Europe.<ref name="Afghanistan's commercial goods arrived in Turkey through Lapis Lazuli route">Template:Cite news</ref> Other such trade routes connect Afghanistan with neighboring Iran, Pakistan, Tajikistan and Uzbekistan.<ref>Template:Cite video</ref> The country also has direct trade with China and India via air corridor.<ref>Template:Cite news</ref> It has four international airports, which include: Kabul International Airport in the capital city; Mazar-e Sharif International Airport in the north of the country; Herat International Airport in the west; and the Ahmad Shah Baba International Airport in Kandahar.<ref>Template:Cite news</ref> It also has about 24 domestic airports.<ref>Template:Cite news</ref> The major airlines of the country include Ariana Afghan Airlines and Kam Air. Its national rail network is slowly expanding to connect Central Asia with Pakistan and Iran.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> In addition to Central Asia, imported goods also enter by rail from neighboring Iran and China.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
The Afghanistan–Pakistan Transit Trade Agreement (APTTA) allows Afghan and Pakistani cargo trucks to transit goods within both nations. This revised US-sponsored APTTA agreement also allows Afghan trucks to transport exports to India via Pakistan up to the Wagah crossing point. There are over a dozen official border crossing points all around Afghanistan. They include Abu Nasir Port in Farah Province, Ai-Khanoum in Takhar Province, Angur Ada in Paktika Province, Aqina in Faryab Province, Dand-aw-Patan in Paktia Province, Ghulam Khan in Khost Province, Hairatan in Balkh Province, Ishkashim in Badakhshan Province, Islam Qala in Herat Province, Sher Khan Bandar in Kunduz Province, Torghundi in Herat Province, Torkham in Nangarhar Province, Spin Boldak in Kandahar Province, and Zaranj in Nimruz Province.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> The country also has legal access to two major seaports in Pakistan, the Gwadar Port in Balochistan and the Port Qasim in Sindh.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Afghanistan also has legal access to major seaports in Iran, which include the one in Bandar Abbas in the Persian Gulf and the Chabahar Port in the Gulf of Oman.<ref>Template:Cite news</ref>
Template:AnchorAfghanistan is endowed with a wealth of natural resources, which include extensive deposits of barites, chromite, coal, copper, gold, gemstone, iron ore, lead, lithium, marble, natural gas, petroleum, salt, sulfur, talc, uranium, and zinc.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref name="Chinese firm offers IEA $10 billion investment in lithium reserves">Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> Rare-earth elements can be found all over the country.<ref>Template:Cite news</ref> In 2006, a U.S. Geological Survey estimated that Afghanistan has as much as Template:Cvt of natural gas, Template:Cvt of oil and condensate reserves.<ref name=Eurasianet>Eurasianet.org - Eurasia Insight, Afghanistan's Energy Future and its Potential Implications</ref> According to a 2007 assessment, Afghanistan has significant amounts of undiscovered non-fuel mineral resources. Geologists also found indications of abundant deposits of colored stones and gemstones, including emerald, garnet, kunzite, lapis lazuli, peridot, ruby, sapphire, spinel, and tourmaline.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
It is claimed that Afghanistan has at least $1 trillion in untapped mineral deposits.<ref>Template:Cite news</ref> A memo from the Pentagon stated that Afghanistan could become the "Saudi Arabia of lithium".<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Some believe that the untapped minerals are worth up to $3 trillion.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The Khanashin carbonatites in the Helmand Province of the country have an estimated 1 million metric tonnes of rare earth elements.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Afghanistan currently has a copper mining deal with China Metallurgical Group Corporation,<ref>Template:Cite news</ref> which involves the investment of $2.8 billion by China and an annual income of about $400 million to the Afghan government. The country's Ainak copper mine, located in Logar Province, is one of the biggest in the world. It is estimated to hold at least 11 million tonnes or US$33 billion worth of copper.<ref>Template:Cite news</ref>
The previous government has signed a 30-year contract with investment group Centar and its operating company, Afghan Gold and Minerals Co., to explore and develop a copper mining operation in Balkhab District in Sar-e Pol Province, including a gold mining operation in Badakhshan Province. The copper contract involved a $56 million investment and the gold contract a $22 million investment.<ref>Template:Cite news</ref>
The country's other recently announced treasure is the Hajigak iron mine, located Template:Cvt west of Kabul and is believed to hold an estimated 1.8 billion to 2 billion metric tons of the mineral used to make steel.<ref>Template:Cite news</ref> The country also has a number of coal mines.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Afghanistan's important resource in the past has been natural gas, which was first tapped in 1967. During the 1980s, gas sales accounted for $300 million a year in export revenues (56% of the total). About 90% of these exports went to the Soviet Union to pay for imports and debts. However, during the withdrawal of Soviet troops in 1989, the natural gas fields were capped to prevent sabotage by criminals. Gas production has dropped from a high of Template:Cvt per day in the 1980s to a low of about Template:Cvt in 2001. Production of natural gas was restored during the Karzai administration in 2010.<ref>Template:Cite news</ref>
It is predicted that by pumping-out its own oil reserves,<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> Afghanistan will no longer be importing oil products after 2026.<ref>Template:Cite news</ref> Originally, the Karzai administration and China National Petroleum Corporation (CNPC) signed a contract for the development of three oil fields in the northern provinces of Sar-e Pol, Jowzjan and Faryab.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> It was later reported that CNPC began extracting Template:Cvt of oil annually.<ref>Template:Cite news</ref> In early 2023, the Xinjiang Central Asia Petroleum and Gas Company signed a similar contract with the Islamic Emirate of Afghanistan.<ref>Template:Cite news</ref> Russia had also found interest in oil and gas supply to Afghanistan.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
Economic development and recoveryEdit
Afghanistan embarked on a modest economic development program in the 1930s. The government founded banks; introduced paper money; established a university; expanded primary, secondary, and technical schools; and sent students abroad for education. In 1952 it created the Helmand Valley Authority to manage the economic development of the Helmand and Arghandab valleys through irrigation and land development,<ref name="tudor"/> a scheme which remains one of the country's most important capital resources.<ref>Template:Cite journal</ref>
In 1956, the government promulgated the first in a long series of ambitious development plans.<ref name="Helmand's Golden Age">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> By the late 1970s, these had achieved only mixed results due to flaws in the planning process as well as inadequate funding and a shortage of the skilled managers and technicians needed for implementation.<ref>[1] Template:Webarchive, Socio-Economic Overview of Afghanistan, Strategic Outlook</ref>
Da Afghanistan Bank serves as the central bank of the nation. The "afghani" (AFN) is the national currency, which has an exchange rate of around 70 afghanis to 1 US dollar.<ref name="Afghani reverses to 7-year old value against US dollar"/><ref name="Business"/><ref name="Today’s Currency Rate"/> There are over a dozen different banks operating in the country, including Afghanistan International Bank, Kabul Bank, Azizi Bank, Pashtany Bank, Standard Chartered Bank, and First Micro Finance Bank. Cash is still widely used for most transactions. A new law on private investment provides three to seven-year tax holidays to eligible companies and a four-year exemption from exports tariffs and duties. Improvements to the business-enabling environment have resulted in more than $1.5 billion in telecom investment and created more than 100,000 jobs since 2003.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Afghanistan is a member of ECO, OIC, SAARC, and WTO. It has an observer status in the SCO. It seeks to complete the so-called New Silk Road trade project, which is aimed to connecting South Asia with Central Asia and the Middle East. This way Afghanistan will be able to collect large fees from trade passing through the country, including from the Trans-Afghanistan Pipeline.
Some of the ongoing national mega projects include the Qosh Tepa Canal project in the north of the country and the New Kabul City.<ref>Template:Cite news</ref> Other smaller development projects include the Qatar Township in Kabul,<ref>Template:Cite news</ref> Aino Mena in Kandahar and the Ghazi Amanullah Khan Town east of Jalalabad. Similar projects are also found in Herat in the west, Mazar-e-Sharif in the north, Khost in the east, and in other cities.
There are as much as 5,000 factories in Afghanistan.<ref>Template:Cite news</ref> Most are locally owned,<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> while others involve foreign investors.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> They produce construction materials, furniture, household items, apparel, food, beverages, pharmaceutical products, etc.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The country imports roughly $500 million of textile goods from other countries.<ref>Template:Cite news</ref> It exported about $168 million worth of cotton in 2022.<ref>Template:Cite news</ref> Afghan handwoven rugs are one of the most popular products for exportation. Other products include hand crafted antique replicas as well as leather and furs. Afghanistan is the third largest exporter of cashmere.<ref>Template:Cite video</ref>
After the Islamic Emirate of Afghanistan returned to power, the country suffered from a major liquidity crisis and lack of banknotes.<ref>Template:Cite news</ref> Because outside donors have severely cut funding to support Afghanistan's health, education, and other essential sectors, many Afghans lost their incomes. Under the assessment system of the World Food Programme (WFP), almost 20 million people suffered either level-3 “crisis” or level-4 “emergency” levels of food insecurity. The crisis’ impact on women and girls was especially severe.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Officials under the new Islamic Emirate continue to provide communication services to areas that lacked them.<ref>Template:Cite news</ref> The government collected 61 billion afghanis in tariffs in 2022,<ref>Template:Cite news</ref> which increased to 76 billion in 2023.<ref>Template:Cite news</ref> It continues to attract foreign investors.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref>
TourismEdit
{{#invoke:Labelled list hatnote|labelledList|Main article|Main articles|Main page|Main pages}} Tourism in Afghanistan was at its peak in 1977. Many tourists from around the world visited Afghanistan, including from as far away as Europe and North America. All of that ended with the start of the April 1978 Saur Revolution. However, it is again gradually increasing despite having reputation as one of the most dangerous countries in the world.<ref>Template:Cite news</ref> Between 4,000 and 20,000 foreign tourists visit Afghanistan every year.<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> As many as 371,000 Afghans have visited different parts of the country in 2022.<ref>Template:Cite news</ref> Tourists are advised to avoid areas where armed criminals may operate.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Ariana, Flydubai and Kam Air all provide flight services between Dubai International Airport and Kabul International Airport.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> The city of Kabul has many guest houses and hotels, which include the Kabul Serena Hotel, the Hotel Inter-Continental Kabul, the Safi Landmark Hotel, and the Kabul Star Hotel. Small number of guest houses and hotels are also available in other cities such Kandahar, Herat, Mazar-i-Sharif, Jalalabad, Bamyan, Fayezabad, etc.<ref>Template:YouTube, Nov. 22, 2018, Bamyam TV.</ref> For those wanting to travel by road, there are bus terminals with mosques, Afghan style restaurants and small shops in the major cities.<ref>Template:YouTube (July 29, 2023)</ref><ref>Template:YouTube (Ariana News, Jan. 5, 2023)</ref><ref>Template:YouTube</ref><ref>Template:YouTube</ref><ref>Template:YouTube</ref>
The following are some of the notable places in Afghanistan that tourists visit:
- Badakhshan Province
- Fayzabad
- Ishkashim (border crossing between Afghanistan and Tajikistan)
- Wakhan National Park in Wakhan District
- Balkh Province
- Great Blue Mosque in Mazar-i-Sharif
- Balkh (ancient town)
- Hairatan (border crossing between Afghanistan and Uzbekistan)
- Bamyan Province
- Ghazni Province
- Burial site of Al-Biruni
- Burial site of Mahmud of Ghazni
- Citadel of Ghazni
- Jaghori District (various cultural and scenic sites)<ref>Template:Cite video</ref><ref>Template:Cite video</ref>
- Sarda Dam in Andar District
- Herat Province
- Great Mosque of Herat
- Herat Citadel
- Islam Qala (border crossing between Afghanistan and Iran)
- Torghundi (border crossing between Afghanistan and Turkmenistan)
- Salma Dam (Afghanistan-India Friendship Dam)
- Kabul Province
- Chihil Sutun
- Darulaman (Darul Aman Palace, Tajbeg Palace, Afghan Parliament, National Museum of Afghanistan, etc.)
- Gardens of Babur
- Paghman
- Qargha Reservoir
- Shahr-e Naw (Kabul City Center, Serena Hotel, Abdul Rahman Mosque, Shahr-e Naw Park, foreign embassies, etc.)
- Wazir Akbar Khan (Arg, Kabul International Airport, foreign embassies, etc.)
- Kandahar Province
- Aino Mina (modern community with hotels, guest houses, restaurants, shops, parks, etc.)
- Dahla Dam in Shah Wali Kot District
- Chilzina Park
- Mausoleum of Mirwais Hotak
- Reg District (Sand District)
- Shrine of the Cloak
- Shrine of Baba Wali in Arghandab
- Nangarhar Province
- Nimruz Province
- Zaranj (border crossing between Afghanistan and Iran)
- Kamal Khan Dam
- Nuristan Province
- Panjshir Province
National dataEdit
The following table shows the main economic indicators in 2002–2023.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Inflation below 5% is in green.
_per_capita_in_2019.svg){kind=link}
Gross national saving: 22.7% of GDP (2017)
GDP - composition by sector:
- agriculture: 23% (2016)
- industry: 21.1% (2016)
- services: 55.9% (2016)
note: data excludes opium production
GDP - composition by end use:
- household consumption: 81.6% (2016)
- government consumption: 12% (2016)
- investment in fixed capital: 17.2% (2016)
- investment in inventories: 30% (2016)
- exports of goods and services: 6.7% (2016)
- imports of goods and services: -47.6% (2016)
Household income or consumption by percentage share:
- lowest 10%: 3.8%
- highest 10%: 24% (2008)
Agriculture - products: wheat, milk, grapes, vegetables, potatoes, watermelons, melons, rice, onions, apples
Industries: small-scale production of bricks, textiles, soap, furniture, shoes, fertilizer, apparel, food-products, non-alcoholic beverages, mineral water, cement; handwoven carpets; natural gas, coal, copper
Industrial production growth rate: -1.9% (2016)
country comparison to the world: 181
Labor force: 8.478 million (2017)
country comparison to the world: 58
Labor force - by occupation: agriculture 44.3%, industry 18.1%, services 37.6% (2017)
Population below poverty line: 54.5% (2017)
Budget:
- revenues: 2.276 billion (2017)
- expenditures: 5.328 billion
Taxes and other revenues: 11.2% (of GDP) (2017)
country comparison to the world: 210
Exports: $2 billion (2022)<ref name="TOLO-182736">Template:Cite news</ref>
country comparison to the world: 164
Exports - commodities: gold, grapes, opium, fruits and nuts, insect resins, cotton, handwoven carpets, soapstone, scrap metal (2019)
Exports - partners: United Arab Emirates 45%, Pakistan 24%, India 22%, China 1% (2019)
Imports: $7 billion (2022)<ref name="TOLO-182736"/>
country comparison to the world: 125
Imports - commodities: wheat flours, broadcasting equipment, refined petroleum, rolled tobacco, aircraft parts, synthetic fabrics (2019)
Imports - partners: United Arab Emirates 23%, Pakistan 17%, India 13%, China 9%, United States 9%, Uzbekistan 7%, Kazakhstan 6% (2019)
Reserves of foreign exchange and gold: $7.187 billion (2017)
country comparison to the world: 85
Current account balance: $1.014 billion (2017)
country comparison to the world: 49
Currency: Afghani (AFN)
Exchange rates: 67 afghanis to 1 US dollar (2023)<ref>Template:Cite news</ref><ref name="Afghani reverses to 7-year old value against US dollar">Template:Cite news</ref><ref name="Business">Template:Cite news</ref><ref name="Today’s Currency Rate">Template:Cite news</ref>
Fiscal year: 21 December - 20 December
Energy in AfghanistanEdit
{{#invoke:Labelled list hatnote|labelledList|Main article|Main articles|Main page|Main pages}}
Energy in Afghanistan is provided by hydropower followed by fossil fuel and solar power.<ref name="CIAWFAF"/> The nation currently generates over 600 megawatts (MW) of electricity from its several hydroelectric plants as well as using fossil fuel and solar panels.<ref name="CIAWFAF">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref><ref>Template:Cite news</ref> Over 670 MW more is imported from neighboring Iran, Tajikistan, Turkmenistan and Uzbekistan.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> Da Afghanistan Breshna Sherkat (DABS) is the national electricity provider.<ref>Template:Cite news</ref>
Price of electricity is 2.5 afghanis per kw in Kabul Province, 4 afghanis in Herat Province, and around 6 afghanis in Balkh Province.<ref>Template:Cite news</ref> The government wants to use the nation's coal reserves to produce extra electricity.<ref>Template:Cite news</ref> The CASA-1000 project will also add 300 MW of electricity to the national grid.<ref>Template:Cite news</ref>
Due to large influx of expats from neighboring Pakistan and Iran, the nation may require as much as 7,000 MW of electricity in the coming years.<ref>Template:Cite news</ref> The Afghan National Development Strategy has identified renewable energy alternatives, such as wind and solar energy, as a high value power source to develop.<ref>Template:Cite news</ref><ref>Template:Cite news</ref> A number of major solar and wind farms already exist in the country,<ref>Template:Cite news</ref><ref>Template:Cite news</ref><ref>Template:Cite news</ref> with more under development.<ref>Template:Cite news</ref><ref>Template:Cite news</ref>
See alsoEdit
- Afghanistan Accession to World Trade Organization
- Qosh Tepa Canal - canal being built in northern Afghanistan
ReferencesEdit
External linksEdit
- Afghanistan: Economy Data in The World Bank website.
- Asian Development Bank - Afghanistan and ADB
- FAO in Afghanistan
- Afghan Agriculture Template:Webarchive (information resource site maintained by UC Davis and USDA)
Template:Afghanistan topics Template:WTO {{#invoke:Navbox|navbox |name = South Asian Association for Regional Cooperation |state = |title = South Asian Association for Regional Cooperation (SAARC) |listclass = hlist
|group1 = Agreements |list1 = South Asian Free Trade Area
|group2 = Summits |list2 =
- Dhaka 1985
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- Kathmandu 2002
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- Thimphu 2010
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- Kathmandu 2014
- Islamabad 2016 (Cancelled)
|group3 = Members |list3 =
|group4 = Observers |list4 =
|group5 = Guests |list5 =
|group6 = Specialised agencies |list6 =
- SAARC Consortium on Open and Distance Learning
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|group7 = Related Articles |list7 =
- SAARC Secretary General
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}} Template:SAFTA Template:Asia in topic Template:Authority control