The World Bank in a recent report wrote that the Afghan economy is expected to hover around no-growth territory this year.
while the interim government administration’s restrictive policies on women’s education and work will “further lower Afghanistan’s growth prospects.”
The World bank said the country’s GDP “shrank by 6.5% last year, following a staggering 30% drop in 2021, and the agriculture sector, which accounts for 36% of GDP, declined by 6.6% in 2022 due to unfavorable weather conditions and farmers’ lack of resources to cope.” The industrial sector also saw a “contraction of 5.7% last year, as businesses—especially those owned by women—faced closures due to limited access to resources and financial challenges.”
The World Bank reported that “after a record high in 2022,” exports have been declining this year while imports remain robust, resulting in a growing trade deficit.
Melinda Good, World Bank Country Director for Afghanistan said in the report that “Afghanistan’s economy is fragile, relies heavily on external support and its private sector is weak.”
