MoE rejects Afghanistan’s economy again nearing precipice

KABUL (Pajhwok): The US Institute of Peace in an analysis says that Afghanistan’s economy is once again nearing the precipice, but the Ministry of Economy rejects this claim.

The Ministry of Economy says significant progress has been made on economic front during the past two years.

The USIP in a report said Afghanistan remained one of the poorest countries in the world, with some highest humanitarian needs.

It said Afghanistan recently showed some signs of stabilizing over the last year, but many Afghan households were still struggling to produce basic needs and many women had been driven from the workforce altogether.

“Combined with population growth and the influx of thousands of Afghans forced to return from neighboring Pakistan, this is a recipe for increased humanitarian need over the longer term in the absence of major structural and political reforms,” the report added.

But MoE rejected the report and said: “The report published by the US Institute of Peace about Afghanistan’s economic situation is baseless.”

The ministry said in last two years, there had been important achievements in the economic sector and significant progress had been made.

The ministry said in a statement: “In terms of major economic indicators, agriculture and production, the reduction in inflation, the stability of the value of the afghani, the increase in national income and exports, and the normal budget expenditures of internal revenues without foreign aid.”

Funding development projects showed real improvement and economic mobility of Afghanistan, the ministry concluded.

sa/ma