Ministry of Economy: New UN Sanctions on Iran Will Harm Afghanistan
The Ministry of Economy considers the new UN economic and trade sanctions against Iran detrimental to Afghanistan.
Officials from the ministry said that Kabul and Tehran had previously agreed to increase the volume of trade exchanges to $10 billion, but the new sanctions could jeopardize that agreement and strain the economic relations between the two countries.
Abdul Latif Nazari, Deputy Minister of Economy, said: “Joint projects between Iran and Afghanistan will face restrictions; goods transiting through Iran to other countries will encounter challenges; and our businesses and income levels will also face limitations and difficulties.”
Today (Sunday), alongside nuclear and military sanctions, the United Nations imposed broad restrictions on Iran’s commercial transactions, transportation, and international trade.
Afghanistan’s heavy reliance on imported goods from Iran, particularly energy, food supplies, and construction materials means that any restrictions on trade with Iran will have a direct impact on Afghanistan’s economy.
The private sector has described these sanctions as being contrary to international trade principles.
Khan Jan Alokozay, former board member of the Afghanistan Chamber of Commerce and Investment, said: “Trade is a universal human right, and no country should misuse its power. All countries must conduct trade in accordance with international norms.”
Some economic experts also emphasized that the new sanctions, particularly targeting Iran’s Chabahar port and banking system, will not only negatively affect Afghanistan-Iran trade and transit relations, but will also have regional repercussions.
Mohammad Asif Stanekzai, an economic analyst, said: “Iran was the best alternative to Pakistan and other countries that exerted pressure on Afghanistan in terms of trade. These sanctions will directly cause economic inflation inside the country, hinder domestic production, and create obstacles for goods we transit through Iran.”
This comes at a time when economic, trade, and transit relations between Kabul and Tehran had increased following the return of the Islamic Emirate to power in Afghanistan.
In the past year alone, trade between Afghanistan and Iran reached nearly $3.366 billion, of which around $55 million accounted for Afghanistan’s exports to Iran, while the rest was imports from Iran.
