Business
$1 billion US aid cut to ‘hit Afghan security force funds’
The US would cut $1 billion of its aid to Afghanistan from funds for Afghan security forces, Reuters reported citing to US sources.
The sources have told Reuters that the aid cut would undercut both Kabul’s ability to fight the Taliban and its leverage to negotiate a peace deal with them.
After the US secretary of state, Mike Pompeo failed to convince Ghani and Abdullah to an agreement to resolve the political disputes following the announcement of the results of the election, the US announced a $1 Billion reductions in aid to the country.
Pompeo, however, said the aid cut could be reversed if the two sides resolved their dispute.
Meanwhile, the US’s Principal Deputy Assistant Secretary for South and Central Asian Affairs, said in a tweet that international aid requires partnership with an inclusive government, referring to Afghanistan.
“It can’t be business as usual for international donors in Afghanistan. International aid requires partnership with an inclusive government and we all must hold Afghan leaders accountable to agree on a governing arrangement,” Wells said.
Two U.S. congressional aides have told Reuters on condition of anonymity due to the sensitivity of the matter that State Department officials told Congress the $1 billion would come from a $4.2 billion Pentagon fund that underwrites about three-quarters of the Afghan security forces’ annual budget.
“The idea they would cut security forces funding goes against U.S. national security interests,” one aide has told Reuters, arguing the money is needed to maintain the U.S.-backed government’s ability to fight the Taliban while preserving its bargaining power in peace talks.
Most of the fund pays for salaries, food, fuel, equipment, and infrastructure to support Afghan troops and national police, the report said.
Business
Hairatan railway port sees over 280 wagon arrivals daily from Central Asia
The Hairatan railway port in northern Afghanistan receives between 280 and 300 freight wagons daily from Central Asian countries, highlighting its growing role in connecting Afghanistan to regional and international markets.
The 75-kilometer Hairatan–Mazar-e-Sharif railway links Afghanistan with Uzbekistan and provides a key route for transporting goods from Central Asia, China and other international markets into the landlocked country.
Sayed Qadim Karimi, head of railway transportation at Hairatan port, told China’s Xinhua news agency that trade activity had increased this year, with an average of 280 to 300 wagons arriving at the port each day.
He said the railway transports a wide range of goods to Afghanistan, including clothing, medical equipment, machinery and electrical equipment, adding that trade with China had expanded in recent years.
Afghan traders say the railway connection has helped strengthen commercial ties with China and other regional countries while making it easier to transport imported goods.
“We transport our goods from China by freight train via Kazakhstan and Uzbekistan and receive them at Hairatan port,” businessman Ahmad Agha told Xinhua.
Agha said trade with Chinese businesses offered promising opportunities and expressed hope that further railway development would strengthen commercial ties with Kazakhstan, Russia and European countries.
He added that rising cargo volumes had created employment opportunities for local residents, with hundreds of workers handling containers at the port daily to support their families.
Another Afghan businessman, Ahmad Farid Fardan, who imports women’s clothing and colorful fabrics from China, said the railway connection had strengthened trade relations between the two countries.
Fardan expressed hope that expanding railway networks would help Afghanistan broaden its trade and economic relations with China and other countries in the region.
The railway’s role in China-Afghanistan trade dates back to 2016, when the first cargo train from China reached Hairatan as part of a pilot project. In 2019, Afghanistan sent its first export train to China, carrying several containers of talc powder.
The Hairatan railway remains an important transport link for Afghanistan’s import and export activities, offering access to regional markets and broader trade networks extending to Kazakhstan, Kyrgyzstan, Russia, China and Europe.
Business
Afghanistan, US business leaders discuss trade and investment opportunities
Hashemi welcomed the delegation and underscored the importance of strengthening cooperation between the Afghan and US private sectors.
Afghanistan’s Chamber of Commerce and Investment (ACCI) has met with the Afghanistan–America Joint Chamber of Commerce to discuss expanding economic cooperation, strengthening trade ties and identifying potential investment opportunities.
According to the ACCI, the meeting was held on Sunday, October 11, at its headquarters in Kabul. Participants included ACCI Director General Sayed Karim Hashemi, Afghanistan–America Joint Chamber of Commerce President Jeffrey Greico and several members of the joint chamber.
Hashemi welcomed the delegation and underscored the importance of strengthening cooperation between the Afghan and US private sectors. He said establishing large joint-stock companies involving domestic and foreign investors could provide an effective financing mechanism for major economic projects.
Highlighting Afghanistan’s economic potential, Hashemi encouraged American businesses and investors to explore opportunities in infrastructure and industry, particularly oil refining, mineral extraction and processing, and large-scale manufacturing.
Greico praised the ACCI’s efforts to promote Afghanistan’s business environment, describing the fifth Imam Abu Hanifa National and International Exhibition as an important platform for showcasing the country’s economic potential and expanding commercial ties. The exhibition brought together traders, industrialists and representatives from neighbouring and regional countries.
He also proposed holding specialized economic discussions and panel sessions, encouraging Afghan businesses to participate in regional and international conferences, and strengthening engagement with international economic institutions.
Members of the Afghanistan–America Joint Chamber of Commerce also presented their views and proposals on expanding bilateral trade and identifying opportunities for joint investment.
Business
Afghanistan signs nearly $400 million in regional trade and investment deals
The event also featured business-to-business meetings, providing Afghan and foreign companies with opportunities to discuss potential joint investments and commercial partnerships.
Afghanistan has signed trade and investment memorandums of understanding worth nearly $400 million with regional and international companies, according to the Afghanistan Chamber of Commerce and Investment (ACCI).
The agreements were signed on Friday evening during a business matchmaking event held on the sidelines of the fifth Imam Abu Hanifa National and International Exhibition in Kabul.
The event brought together Afghan business representatives, foreign investors and diplomatic officials, with participants from Uzbekistan, India, Kazakhstan, Turkmenistan and Kyrgyzstan attending discussions aimed at expanding economic cooperation and strengthening commercial ties with regional markets.
The ACCI said the meetings highlighted Afghanistan’s strategic geographic location, natural resources, agricultural potential, industrial capacity and domestic products as areas offering opportunities for foreign investment.
Zulgi Arin Azimi, the chamber’s deputy head for investment affairs, described the exhibition and business meetings as important platforms for building trust, strengthening economic partnerships and encouraging international investors to explore opportunities in Afghanistan.
Sherzad Ibrahimov, deputy chairman of the Uzbekistan Chamber of Commerce and Industry, stressed the importance of implementing previously signed agreements and removing technical and administrative barriers to trade.
The event also featured business-to-business meetings, providing Afghan and foreign companies with opportunities to discuss potential joint investments and commercial partnerships.
The ACCI said the newly signed agreements could help boost trade, attract foreign investment and create opportunities for businesses in Afghanistan and partner countries. However, it did not disclose the sectors covered by the agreements or provide details on their implementation timelines.
The agreements come as Afghanistan seeks to expand regional economic cooperation and attract foreign investment through international trade exhibitions and direct engagement between businesses.
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Business4 days agoAfghanistan signs nearly $400 million in regional trade and investment deals
