A recent report by the World Bank said that the ban on opium cultivation in Afghanistan has resulted in a substantial loss of about $1.3 billion to farmers. This amount is huge and equivalent to approximately 8 percent GDP of Afghanistan.
WB report similarly highlights the critical economic issues faced by the country during the past two years.
The report says that structural deficiencies in the private sector and declining international support for essential services are anticipated to hinder economic progress.
Furthermore, the report emphasizes the dire situation faced by half of Afghanistan’s population living in poverty, with 15 million people experiencing food insecurity.
Additionally, the report highlighted the challenge posed by Afghanistan’s increasing trade deficit, with imports reaching $7.8 billion in 2023, representing a 23% increase.
