UNDP: Strengthening Afghanistan’s Private Sector Key to Reducing Aid Dependence

DID Press: Afghanistan office of UN Development Programme (UNDP) has emphasized that bolstering the country’s private sector is essential for economic growth, job creation, and reducing reliance on foreign aid.

Mohammadullah Rahmandel, a private sector expert at UNDP, stated that targeted development and support of commercial activities can pave the way for economic stability in Afghanistan.

According to the “Private Sector Mapping Report” published by UNDP, Afghanistan’s private sector has shown notable resilience despite widespread challenges. However, limited access to financial resources, insufficient infrastructure, and regulatory instability remain major obstacles to growth.

The report stresses that investing in infrastructure, improving legal frameworks, and facilitating access to financing can create new opportunities for entrepreneurs and support sustainable development.

Experts believe that with effective support, the private sector could serve as Afghanistan’s economic engine, playing a critical role in reducing poverty and unemployment.