With the new US administration under Donald Trump, an 83% suspension and eventual halt of US aid, including to Afghanistan, has raised global concerns.
Despite the implementation of economic projects in 1403, poverty and unemployment remained major challenges in Afghanistan.
Migration and natural disasters, such as floods, also negatively impacted the economy.
“Every day we come to the square, but we cannot find work. We face many difficulties. We live in a rented house, and we ask wealthy individuals to help those in need,” said Kazem, a Kabul resident.
Impact of US Aid Reduction
With the new US administration under Donald Trump, an 83% suspension and eventual halt of US aid, including to Afghanistan, has raised global concerns.
In early Hoot, 1403 (February 19-March 20, 2025), UN Secretary-General António Guterres warned about the severe consequences of the US aid reduction, stating that more than 9 million Afghans would lose access to health and support services.
On Hoot 11, 1403 (March 1, 2025), Guterres said: “The consequences will be especially devastating for vulnerable people around the world. In Afghanistan, more than nine million people could lose access to health and protection services, as hundreds of mobile health teams and other critical programmes face suspension.”
Islamic Emirate’s Ministry of Economy criticized the politicization of humanitarian aid.
On Hoot 21, 1403 (March 11, 2025), ministry spokesperson Abdul Rahman Habib said: “Humanitarian aid aims to assist people in emergencies and must be provided impartially, according to humanitarian and ethical principles. These aids should not be used for political purposes.”
Banking restrictions, including limitations on money transfers and frozen Afghan assets, remain major obstacles to Afghanistan’s economic progress. These challenges have further exacerbated poverty and unemployment.
Recently, UNAMA chief Roza Otunbayeva expressed concerns at a UN Security Council meeting, revealing that in 2025, 23 million Afghans will require humanitarian assistance.
Similarly, the World Bank, in its latest 2024 report, warned of a serious food security crisis in Afghanistan. It stated that 11.6 million people (25% of the population) are facing severe food insecurity.