According to The World Bank reports the economic growth of Afghanistan is predicted to rise in the coming year. The country’s economic growth is getting stronger. The estimated rise in 2022 is approximately three per cent. A good omen for the country that is struggling to stand on its feet after so many years of war.


The major area on which the economic growth is based on is the agriculture sector. It has declined in 2020, by two per cent of its growth. Afghanistan’s economy is rising for the coming year. As the pandemic is the major reason for the downfall of the economy around the world. It will be hard for Afghanistan to tread towards prosperity during a lockdown. Due to this, unemployment, hard time for services and industries are notable. Meanwhile, droughts are also predicted in 2021, causing damage to agriculture activities.

Current Situation

Henry Kerali, World Bank Director for Afghanistan made comments on Afghanistan’s economy, “The current political and security uncertainties have created serious hurdles to Afghanistan’s economic recovery from the COVID-19 crisis. A slower pace of recovery means higher unemployment, lower government revenues, and – ultimately – more difficult living conditions for Afghans.”

Prospects for Future

Furthermore, recovering from the destruction of the pandemic is a task itself. Keeping in mind the security concerns, it is also very difficult to regain confidence with Covid-19 circumstances for the private sector. The uncertainty lies in the future political outcome of the US troops withdrawal, the success and results of peace talks and a stark decline in international aid to Afghanistan. Resultantly, the impact of political and social ambiguity might create a hurdle in the way of triumph.

Consequently, Afghanistan is in its growing phase needs to affirm governance, fight corruption, mobilize revenue and boost industries. The fulfilment of these indicators will help achieve strong and sustainable peace. This also requires the help of a partnership between its international partners.

The World Bank reports the economic developments twice a year under the campaign of the South Asia Economic Focus. It examines the economic developments and prosperity in South Asia.


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