:: Consulate General of Afghanistan in Toronto ::


	Afghanistan Fact Sheet-Economic Environment

	SOUND PUBLIC POLICIES GDP growth : 29% (2002) and 23% (2003) Successful currency reform in late 2002 which stabilized inflation Mobilization of domestic revenue- from nearly 0 (2001) to 4+% of GDP (2003) DEVELOPING INFRSTRUCTURE New Road network connecting cities within Afghanistan to neighbours Creation of six industrial parks totalling more than 1,250 hectares (3,000 acres) to expedite professional, high quality industrial investments FACILIATING INVESTMENT, ENCOURAGING BUSINESS Customs procedure streamlined and paperwork reduced by 90% Financial sector reform- newly autonomous Central Bank, private banks Investment laws allowing 100% foreign ownership Use of Multi-Investment Guarantee Agency to mitigate perceived risks Lowest import tariffs in the region (IMF Report January 4, 2005) Exports increased by 76% in 2003 and 46% in 2004 (IMF Report, Jan. 2005) Creation of Afghan Investment Support Agency by Presidential Degree AFGHAN INVESTMENT SUPPORT AGENCY One-stop shop for investors (responsible for registration and licensing) Simplified investment process from 28 steps to 5 Website; www.aisa.org.af