Economy Afghanistan
Economy - overview:
Afghanistan's economic outlook has improved significantly since the
fall of the Taliban regime in 2001 because of the infusion of over
$8 billion in international assistance, recovery of the agricultural
sector and growth of the service sector, and the reestablishment of
market institutions. Real GDP growth is estimated to have slowed in
the last fiscal year primarily because adverse weather conditions
cut agricultural production, but is expected to rebound over 2005-06
because of foreign donor reconstruction and service sector growth.
Despite the progress of the past few years, 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 significantly raise Afghanistan's living standards 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 continuing improvements in the Afghan
economy in 2006. Expanding poppy cultivation and a growing opium
trade may account for one-third of GDP and looms as one of Kabul's
most serious policy challenges. Other long-term challenges include:
boosting the supply of skilled labor, reducing vulnerability to
severe natural disasters, expanding health services, and rebuilding
a war torn infrastructure.
GDP (purchasing power parity):
$21.5 billion (2004 est.)
GDP (official exchange rate):
$7.095 billion
GDP - real growth rate:
14% (2005 est.)
GDP - per capita (PPP):
$800 (2004 est.)
GDP - composition by sector: agriculture: 38% industry: 24% services: 38% note: data exclude opium production (2005 est.)
Labor force: 15 million (2004 est.)
Labor force - by occupation: agriculture: 80% industry: 10% services: 10% (2004 est.)
Unemployment rate:
40% (2005 est.)