Seven private companies signed contracts valued at $2.5 million
Thu Jul 26, 3:17 pm
Officials of the Harakat organization claim that during the past ten years Afghanistan’s economy has been based mostly on providing services for foreign military forces, and that the cumulative value of the contracts for providing those services amount to a staggering portion of the country’s economic activity.
Officials in this administration believe that an economic plan based on the assumption that money will continue to be spent to the same degree as in the past is risky to Afghanistan’s future.
According to them in the past ten years investors have suffered many challenges such as insecurity, corruption and lack of access to financial resources.
Mohammad Naseem Akbar, the Head of the Freight Forwarders Association which once had a strong and active presence in Afghanistan, said, “There were banks developing agricultural, industrial, and export-oriented businesses and these banks had effective benefits for the economy of the country, but in the recent years these banks have seen a sharp reduction in banking activity because so much of the business has been conducted on a “black market” basis, and haven’t used traditional banking services.
Recently, Qurban Haqjo, the President of Afghanistan’s International Chamber of Commerce (AICC), signed $2.5 million dollars in contract agreements for the Assistance of Innovation Investment Fund with seven private companies.
Mr. Haqjo believes that though there is still a lack of access to financial resources, there is an improving climate of investment for private companies in the country.