Karzai’s administration lacked clear economic policy: Afghanistan’s Central Statistics Org

Afghanistan’s Central Statistics Organization (CSO) criticized the Karzai administration for lacking a clear economic policy over the past 13 years.

CSO official Hasibullah Mowahed said the government has failed to undertaken necessary strides towards increasing foreign investment.

On the other hand, the Afghanistan Investment Support Agency (AISA) presented a different theory about the economic approach.

AISA Chief Wafiullah Iftekhar attributed the failure of the economy to the lack of focus on the industrial development.

According to AISA, foreign investment dipped to circa USD 700mn from USD 6bn in 2006.

The downturn in the economy was amplified during the elections process when the country was electing Karzai’s successor.

The run-off led to a political gridlock over claims of elections fraud rather than a smooth transfer power. The economy became a hostage to the political uncertainty and insecurity.

The rate of economic growth is currently at 6.3% and the trade balance deficit has increased to 94%.

Hopes for economic recovery to the formation of the new government led by Dr. Ashraf Ghani, who was once a top economist at the World Bank, focusing on developing economies.