Afghanistan possesses incredible potential for economic development. In recent years, investors have paid increasing attention to the country’s impressive metal and mineral deposits, as well as its water resources and farmland. Some industry experts estimate that untapped reserves of copper, iron, and other minerals could yield a trillion dollars in the coming decade. Geographically, Afghanistan represents a prime gateway between Europe and Asia. This geographic position has become very important for the future of the nation as it begins to rebuild after the devastation of war and collaborates with its neighbors on mutually beneficial infrastructure projects.
According to recently elected President Ashraf Ghani, Afghanistan has the potential to grow into a powerful transit country that facilitates the transport of power, gas, and fiber optics across the sprawling Eurasian continent. Already, the Asian Development Bank (ADB) and the Afghan government have entered into a $130 million agreement to finance a road link that will open up an east-west trade corridor through neighboring Tajikistan. ADB has already invested heavily in the development of transportation within Afghanistan by funding the revitalization of four regional airports and construction on more than 1,500 kilometers of roads.
China and India have also invested heavily in the development of Afghanistan’s economy and infrastructure. Already, China has a large stake in a critical copper mine and other interests in the oil industry. In addition, China has promised $330 million in aid and grants to improve Afghan infrastructure and protect the future of its investments. Private companies in India have invested in Afghanistan’s economy as well.
Ultimately, Afghanistan has many assets to drawn upon as it moves toward economic recovery. Still, the country’s path is a difficult one, especially given its war-torn history. The government must look to Afghanistan’s natural strengths and focus on economic empowerment and self-sufficiency for the Afghan people. In this way, the country will be able to take its rightful place as a strong player in the regional economy.