Afghan economy expands 2.9 per cent in 2019

Afghan economy expands 2.9 per cent in 2019

Monitoring Desk

KABUL: Afghanistan’s economy grew by 2.9 percent in 2019 and is expected to grow by 3.3 percent in 2020, a World Bank report has said.

Wadsam, an Afghan business news portal, quoted the World Bank report as saying that a strong agricultural growth following recovery from drought has significantly contributed to the country’s economic growth in 2019.

According to the report, the economic growth rate can hit 3.3 percent in 2020 if drought continues to recede and private sector confidence improves.

Quoting the report, Wadsam added that domestic revenue collection reached a new high of 14.5 percent of GDP in 2019, up from 13.3 percent in 2018.

However, the report added that the potential for much-faster growth exists but remained dependent on continued support from the international community and commitments from the Afghan government to pushing business environment and anti-corruption reforms.

“The international community needs to maintain its support to Afghanistan over the medium-term to sustain the country’s recent development progress and help realize its long-term growth and self-reliance prospects. In this effort, the Afghan government needs to assure its international partners that progress is being made on governance and that aid resources are used efficiently,” the media outlet quoted the World Bank report as saying.

Political insecurity and uncertainty have since long hampered Afghanistan’s economic growth, according to the report.(Xinhua)

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