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Afghanistan Economy Profile 2018

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Economy - overviewAfghanistan is gradually recovering from decades of conflict. Before 2014, the economy had sustained nearly a decade of strong growth, largely because of international assistance. Since 2014, however, the economy has slowed, in large part because of the withdrawal of nearly 100,000 foreign troops that had artificially inflated the country’s economic growth. Despite improvements in life expectancy, incomes, and literacy since 2001, Afghanistan is extremely poor, landlocked, and highly dependent on foreign aid. Much of the population continues to suffer from shortages of housing, clean water, electricity, medical care, and jobs. Corruption, insecurity, weak governance, lack of infrastructure, and the Afghan Government's difficulty in extending rule of law to all parts of the country pose challenges to future economic growth. Afghanistan's living standards are among the lowest in the world.

The international community remains committed to Afghanistan's development, pledging over $83 billion at ten donors' conferences between 2003 and 2016. In October 2016, the donors at the Brussels conference pledged an additional $3.8 billion in development aid annually from 2017 to 2020. Despite this help, the Government of Afghanistan will need to overcome a number of challenges, including low revenue collection, anemic job creation, high levels of corruption, weak government capacity, and poor public infrastructure.

In 2017 Afghanistan's growth rate was only marginally above that of the 2014-2016 average. The drawdown of international security forces that started in 2012 has negatively affected economic growth, as a substantial portion of commerce, especially in the services sector, has catered to the ongoing international troop presence in the country. Afghan President Ashraf GHANI Ahmadzai is dedicated to instituting economic reforms to include improving revenue collection and fighting corruption. However, the reforms will take time to implement and Afghanistan will remain dependent on international donor support over the next several years.
GDP (purchasing power parity)$69.51 billion (2017 est.)
$67.81 billion (2016 est.)
$66.25 billion (2015 est.)
note: data are in 2017 dollars
GDP (official exchange rate)$21.06 billion (2016 est.)
GDP - real growth rate2.5% (2017 est.)
2.4% (2016 est.)
1.3% (2015 est.)
GDP - per capita (PPP)$1,900 (2017 est.)
$2,000 (2016 est.)
$2,100 (2015 est.)
note: data are in 2017 dollars
Gross national saving22.7% of GDP (2017 est.)
25.5% of GDP (2016 est.)
21.4% of GDP (2015 est.)
GDP - composition, by end usehousehold consumption: 108.6%
government consumption: 12.8%
investment in fixed capital: 18.2%
investment in inventories: 0%
exports of goods and services: 6.6%
imports of goods and services: -46.2% (2014 est.)
GDP - composition by sectoragriculture: 22%
industry: 22%
services: 56%
note: data exclude opium production (2015 est.)
Population below poverty line35.8% (2011 est.)
Labor force7.983 million (2013 est.)
Labor force - by occupationagriculture: 78.6%
industry: 5.7%
services: 15.7% (FY08/09 est.)
Unemployment rate35% (2008 est.)
40% (2005 est.)
Household income or consumption by percentage sharelowest 10%: 3.8%
highest 10%: 24% (2008)
Budgetrevenues: $1.992 billion
expenditures: $6.636 billion (2016 est.)
Taxes and other revenues9.5% of GDP (2016 est.)
Budget surplus (+) or deficit (-)-22.1% of GDP (2016 est.)
Public debt8.3% of GDP (2016 est.)
9.3% of GDP (2015 est.)
Inflation rate (consumer prices)6% (2017 est.)
4.4% (2016 est.)
Commercial bank prime lending rate15% (31 December 2016 est.)
15% (31 December 2015 est.)
Stock of narrow money$6.644 billion (31 December 2014 est.)
$6.192 billion (31 December 2013 est.)
Stock of broad money$6.945 billion (31 December 2014 est.)
$6.544 billion (31 December 2013 est.)
Stock of domestic credit$-240.6 million (31 December 2016 est.)
$-240.6 million (31 December 2016 est.)
Market value of publicly traded shares$NA
Agriculture - productsopium, wheat, fruits, nuts; wool, mutton, sheepskins, lambskins, poppies
Industriessmall-scale production of bricks, textiles, soap, furniture, shoes, fertilizer, apparel, food products, non-alcoholic beverages, mineral water, cement; handwoven carpets; natural gas, coal, copper
Industrial production growth rate2.4% (2014 est.)
Current Account Balance$999 million (2017 est.)
$1.372 billion (2016 est.)
Exports$619.2 million (2016 est.)
$580 million (2015 est.)
note: not including illicit exports or reexports
Exports - commoditiesopium, fruits and nuts, handwoven carpets, wool, cotton, hides and pelts, precious and semi-precious gems
Exports - partnersPakistan 46.3%, India 37.6% (2016)
Imports$6.16 billion (2016 est.)
$7.034 billion (2015 est.)
Imports - commoditiesmachinery and other capital goods, food, textiles, petroleum products
Imports - partnersIran 19.3%, Pakistan 18.3%, China 16.7%, Kazakhstan 9.5%, Uzbekistan 6.1%, Turkmenistan 5.4%, Malaysia 4% (2016)
Reserves of foreign exchange and gold$6.477 billion (31 December 2016 est.)
$6.232 billion (31 December 2015 est.)
Debt - external$1.28 billion (FY10/11)
$2.7 billion (FY08/09)
Exchange ratesafghanis (AFA) per US dollar -
67.87 (2016 est.)
67.87 (2016 est.)
67.87 (2015)
61.14 (2014 est.)
57.25 (2013 est.)
Fiscal year21 December - 20 December

Source: CIA World Factbook
This page was last updated on January 20, 2018

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