Three years after Taliban return, economic woes loom large

A third of Afghanistan’s roughly 40 million people live on bread and tea, according to the United Nations, there is massive unemployment, and the World Bank warns of zero growth over the next three years.

But there have been some positive changes since the Taliban takeover in 2021 — even if their government remains unrecognised by any other country.

The currency has been resilient, corruption is no longer ubiquitous, and tax collection has improved.

Authorities have also built “economic, commercial, transit and investment” ties in the region, according to Ahmad Zahid, deputy commerce and industry minister.

Afghanistan has great mineral and agricultural potential, which the Taliban government is attempting to exploit, but they are impeded by poor infrastructure and a lack of domestic and foreign expertise and capital.

Though Afghans welcome the improved security in their lives, many are just trying to make ends meet.

AFP spoke to four people from different parts of the country ahead of the anniversary of the fall of Kabul this week:

For 54-year-old Azizullah Rehmati, business is booming — his saffron company in the western province of Herat is set to double production this year.

Until 2021, his “Red Gold Saffron Company” hired armed guards to escort the valuable spice from the factory to the airport, but the improved security climate has done away with the need for such overt protection.

“Now there is no problem,” said Rehmati, who exports to 27 countries.

At his processing facility, women sort the red stigmas of the precious saffron spice with tongs.

Taliban government restrictions on women have slashed their participation in the workforce, but Rehmati’s company is among the 50 percent of Afghan employers who still hire women.

Still, a key challenge for Rehmati — and Afghanistan as a whole — is the crippled banking sector.

“It is so important that we have the banking channels reopened,” said Sulaiman Bin Shah, deputy trade minister under the previous government.

The sector has been blocked by international sanctions and the freezing of central bank assets.

Rehmati’s bank can’t send money abroad — or receive transfers — meaning he has to resort to more expensive private money changers in Dubai.

Getting visas for foreign trips is also a major problem.

Many foreign nations shuttered their embassies in the wake of the Taliban takeover and Afghan passports are rated the worst in the world by the Henley Index, which tracks global ease of travel.

“We will fall back from the world market,” Rehmati said.

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