The World Bank's latest report indicates that while Afghanistan's economy is showing signs of recovery, this growth is insufficient to improve living standards. Alarmingly, the per capita income of the Afghan population has experienced a 5.6 percent decline due to structural challenges.
The report notes that economic growth has been supported by increased domestic demand and relative price stability. However, rapid population growth and the massive return of migrants have overshadowed these gains. While inflation and food prices are dropping, the costs of housing and essential healthcare services continue to rise.
Foreign trade remains a significant weakness, with sharp drops in both exports and imports, leading to increased reliance on Iranian transit routes. Despite stable domestic revenues for the current administration, decreasing foreign investments and continuous trade disruptions highlight the severe fragility of the economic environment.
#AfghanistanEconomy #WorldBank #Afghan #Trade #EconomicCrisis
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