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ADB suspends TAPI project until IEA gains international recognition

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The Asian Development Bank (ADB) has confirmed that work on the trans-nations Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project has been suspended until the Islamic Emirate of Afghanistan (IEA) government has gained international recognition.

In response to an email sent to the ADB by Ariana News, an official confirmed that the project has been put on hold.

He said the ADB “has paused all its TAPI project due diligence and processing activities until further notice.”

According to the ADB, while the international community continues to assess the evolving situation in Afghanistan, the bank has decided to hold off on its assistance in Afghanistan. The official said the ADB however continues to consult with its shareholders and other stakeholders to monitor the situation in Afghanistan.

The $10 billion TAPI project to transport Turkmen natural gas through Afghanistan to Pakistan and India is one of the largest economic projects to date in the region.

“Some time ago, the Pakistani Minister of Economy said that we have a security problem and we cannot complete this project, and they have a problem with the fact that they want to eliminate India, but India will not be eliminated by Turkmenistan, which in fact is India’s last TAPI station, ” said Sayed Massoud an economic analyst.

IEA officials meanwhile said about two weeks ago that they had met with the TAPI project chief executive and the Turkmen ambassador to Kabul to discuss the project.

“The TAPI project is so important that it will change not only Afghanistan but also the region’s economy, and its first implication for Afghanistan is that it gives Afghanistan an international value.

“Second, common economic provisions create security and increase economic cooperation,” said Shirbaz Kaminzada, the President of the Afghanistan Chamber of Industries and Mines.

The TAPI project stretches for about 1,800 km and will transport about 33 billion cubic meters of Turkmen natural gas annually through Afghanistan to Pakistan and India.

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Afghanistan highlights strategic connectivity role at Termez Dialogue

Azizi stressed that shared economic interests can play a crucial role in fostering lasting peace, mutual trust, and regional stability.

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Afghanistan has reaffirmed its commitment to regional economic integration, highlighting its strategic position as a vital link between Central and South Asia during the second Termez Dialogue on Connectivity.

Afghanistan’s Minister of Industry and Commerce, Nooruddin Azizi, participated in the forum, which brought together senior government officials, representatives of the United Nations, the European Union, and regional organizations under the theme, “Peace, Connectivity and Prosperity: Building the Foundations of Shared Development.”

Addressing the high-level session virtually, Azizi emphasized Afghanistan’s vision of expanding regional trade, strengthening economic cooperation, and maximizing the country’s transit potential.

According to the Ministry of Industry and Commerce, Azizi noted that Afghanistan’s geographic location uniquely positions it to serve as a bridge between Central and South Asia, facilitating the movement of goods, investment, and people across the region.

He also highlighted the Trans-Afghan Railway Project as a key regional connectivity initiative, saying it would help link rail networks, boost trade and transit, and deepen economic cooperation among participating countries.

Azizi stressed that shared economic interests can play a crucial role in fostering lasting peace, mutual trust, and regional stability.

Representatives from Uzbekistan, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, Azerbaijan, India, and Bangladesh also attended the dialogue, underscoring the importance of expanding economic partnerships and developing new trade corridors.

Afghanistan’s participation reflects its growing role in regional transit and infrastructure initiatives aimed at strengthening connectivity and economic growth across Central and South Asia.

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Afghanistan, Uzbekistan move to strengthen transit and trade cooperation

The discussions focused on enhancing transit cooperation, facilitating the movement of goods, strengthening logistics infrastructure, and resolving obstacles affecting Afghan businesses engaged in regional trade.

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Afghanistan and Uzbekistan are taking new steps to expand economic and transit cooperation, with senior officials from both sides discussing measures aimed at facilitating trade, improving transportation links, and addressing challenges facing Afghan exporters and traders.

According to the Afghanistan Chamber of Commerce and Investment (ACCI), its chairman, Sayed Karim Hashemi, met with Uzbekistan’s Minister of Transport and senior railway officials during a visit to the neighboring country.

The discussions focused on enhancing transit cooperation, facilitating the movement of goods, strengthening logistics infrastructure, and resolving obstacles affecting Afghan businesses engaged in regional trade.

ACCI said both sides emphasized the importance of expanding transit corridors, accelerating cargo transportation, and creating additional facilities for Afghan traders. They also reviewed practical measures to reduce existing challenges in the import and export sectors.

The meeting follows an earlier round of talks between Hashemi and the Chairman of the Uzbekistan Chamber of Commerce and Industry, during which the two sides discussed expanding trade and economic ties, improving customs and transit facilitation, and finding solutions to issues facing the private sector in both countries.

According to ACCI, the recent engagements are part of ongoing efforts to strengthen economic relations between Kabul and Tashkent and to create greater opportunities for bilateral trade growth.

Economic analysts say enhanced transit and logistics cooperation between Afghanistan and Uzbekistan could help increase regional trade volumes, lower transportation costs, and improve access for Afghan products to markets across Central Asia.

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Afghanistan’s trade with Central Asia records sharp growth

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Trade between Afghanistan and Central Asian countries has increased significantly, with imports rising by 43 percent and exports by 77 percent in 2025, according to the Ministry of Industry and Commerce.

The ministry said imports from Central Asian countries increased from $1.679 billion in 2024 to $2.399 billion in 2025. Exports also rose from $122 million to $216 million during the same period.

Abdul Salam Jawad, spokesperson for the Ministry of Industry and Commerce, said the figures reflect a substantial expansion in Afghanistan’s trade ties with the region.

Traders say transportation services at Hairatan Port have been operating 24 hours a day following disruptions and a decline in trade through Pakistan.

Asadullah Asadi, head of the secretariat of the Balkh Chamber of Commerce and Investment, attributed the growth in trade to Afghanistan’s increasing role as a regional transit hub.

Uzbekistan remains Afghanistan’s largest trading partner in Central Asia, with economic cooperation between the two countries continuing to expand.

Over the past two months, Afghanistan’s private sector and Uzbekistan’s Republic of Karakalpakstan signed agreements worth more than $210 million in various sectors.

Despite the growth in trade, Afghan traders say challenges related to visa issuance and cross-border money transfers remain unresolved.

Economic analysts say the ports of Hairatan, Aqina, and Torghundi play a crucial role in Afghanistan’s trade network, adding that further investment in infrastructure could strengthen the country’s position in regional commerce.

Afghanistan mainly imports flour, wheat, vegetable oil, petroleum products, electricity, and chemical fertilizers from Central Asian countries, while exporting dried fruits, cotton, non-alcoholic beverages, and mineral products.

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