4 GeoFroggy

Economy Overview

Afghanistan's economic outlook has improved significantly over the past two years because of the infusion of over $2 billion in international assistance, dramatic improvements in agricultural production, and the end of a four-year drought in most of the country. However, Afghanistan remains extremely poor, landlocked, and highly dependent on foreign aid, farming, and trade with neighboring countries. It will probably take the remainder of the decade and continuing donor aid and attention to raise Afghanistan's living standards up from its current status among the lowest in the world. Much of the population continues to suffer from shortages of housing, clean water, electricity, medical care, and jobs, but the Afghan government and international donors remain committed to improving access to these basic necessities by prioritizing infrastructure development, education, housing development, jobs programs, and economic reform over the next year. Growing political stability and continued international commitment to Afghan reconstruction create an optimistic outlook for maintaining improvements to the Afghan economy in 2004. The replacement of the opium trade - which may account for one-third of GDP - is one of several potential spoilers for the economy over the long term.

Agriculture Products

opium, wheat, fruits, nuts, wool, mutton, sheepskins, lambskins

Industries

small-scale production of textiles, soap, furniture, shoes, fertilizer, cement; handwoven carpets; natural gas, coal, copper

Industrial Production Growth Rate

NA

Labor Force

11.8 million (2001 est.)

Electricity production

334.8 million kWh (2001)

Electricity Consumption

511.4 million kWh (2001)

Electricity Exports

0 kWh (2001)

Electricity Imports

200 million kWh (2001)

Currency

afghani (AFA)

Unemployment Rate

NA (2003)

Population Below Poverty Line

23% (2002)

Household Income or Consumption by Percentage Share

Lowest 10%: NA

Highest 10%: NA

Budget

Revenues: $200 million

Expenditures: $550 million, including capital expenditures of NA (2003 plan)

Commercial Bank Prime Lending Rate

Stock of Narrow Money

Stock of Broad Money

Stock of Domestic Credit

Market Value of Publicly Traded Shares

Reserves of Foreign Exchange and Gold

Debt External

$8 billion in bilateral debt, mostly to Russia; Afghanistan has $500 million in debt to Multilateral Development Banks (2004)

Stock of Direct Foreign Investment at Home

Stock of Direct Foreign Investment Abroad

Exchange Rates

Exchange rates: afghanis per US dollar - 50 (2003), 50 (2002), 3,000 (2001), 3,000 (2000), 3,000 (1999)

: note

Year

Fiscal Year

  • 21 March - 20 March

GDP Purchasing Power Parity

    Purchasing power parity - $20 billion (2003 est.)

GDP Real Growth Rate

  • GDP - real growth rate
    29% (2003 est.)
  • note

GDP Per Capital

    Purchasing power parity - $700 (2003 est.)

Gross National Saving

GDP Composition by end Use

GDP Composition by Sector of Origin

  • Agriculture
    60%
  • Industry
    20%
  • Services
    20% (1990 est.)

Inflation Rate Consumer Prices

    5.2% (2003)

Current Account Balance

Exports

    $98 million (not including illicit exports) (2002 est.)

Exports Partners

  • US
    27%
  • France
    17.5%
  • India
    16.6%
  • Pakistan
    13.3%

Exports Commodities

    Opium, fruits and nuts, handwoven carpets, wool, cotton, hides and pelts, precious and semi-precious gems

Imports

    $1.007 billion (2002 est.)

Imports Partners

  • Pakistan
    30.1%
  • South
    Korea
  • Japan
    7.6%
  • Germany
    6.9%
  • Turkmenistan
    5.4%
  • Kenya
    4.6%
  • US
    4.5%
  • Russia
    4%

Imports Commodities

    Capital goods, food, textiles, petroleum products