Economy - overview Afghanistan is an extremely poor, landlocked country, highly dependent on farming and livestock raising (sheep and goats). Economic considerations have played second fiddle to political and military upheavals during two decades of war, including the nearly 10-year Soviet military occupation (which ended 15 February 1989). During that conflict one-third of the population fled the country, with Pakistan and Iran sheltering a combined peak of more than 6 million refugees. Gross domestic product has fallen substantially over the past 20 years because of the loss of labor and capital and the disruption of trade and transport; severe drought added to the nation's difficulties in 1998-2001. The majority of the population continues to suffer from insufficient food, clothing, housing, and medical care, problems exacerbated by military operations and political uncertainties. Inflation remains a serious problem. Following the US-led coalition war that led to the defeat of the Taliban in November 2001 and the formulation of the Afghan Interim Authority (AIA) resulting from the December 2001 Bonn Agreement, International efforts to rebuild Afghanistan were addressed at the Tokyo Donors Conference for Afghan Reconstruction in January 2002, when $4.5 billion was collected for a trust fund to be administered by the World Bank. Priority areas for reconstruction include the construction of education, health, and sanitation facilities, enhancement of administrative capacity, the development of the agricultural sector, and the rebuilding of road, energy, and telecommunication links.

GDP purchasing power parity - $21 billion (2000 est.)

GDP - real growth rate NA%

GDP - per capita purchasing power parity - $800 (2000 est.)

GDP - composition by sector
agriculture: 60%
industry: 20%
services: 20% (1990 est.)

Population below poverty line NA%

Household income or consumption by percentage share
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices) NA%

Labor force 10 million (2000 est.)

Labor force - by occupation agriculture 80%, industry 10%, services 10% (1990 est.)

Unemployment rate NA%

Budget
revenues: $NA
expenditures: $NA, including capital expenditures of $NA

Industries small-scale production of textiles, soap, furniture, shoes, fertilizer, and cement; handwoven carpets; natural gas, coal, copper

Electricity - production 375 million kWh (2000)

Electricity - production by source
fossil fuel: 36%
hydro: 64%
other: 0% (2000)
nuclear: 0%

Electricity - consumption 453.75 million kWh (2000)

Electricity - exports 0 kWh (2000)

Electricity - imports 105 million kWh (2000)

Agriculture - products wheat, fruits, nuts, wool, mutton, sheepskin, and lambskin

Exports $1.2 billion (2001 est.)

Exports - commodities opium, fruits and nuts, handwoven carpets, wool, cotton, hides and pelts, precious and semi-precious gems

Exports - partners Pakistan 32%, India 8%, Belgium 7%, Germany 5%, Russia 5%, UAE 4% (1999)

Imports $1.3 billion (2001 est.)

Imports - commodities capital goods, food and petroleum products; most consumer goods

Imports - partners Pakistan 19%, Japan 16%, Kenya 9%, South Korea 7%, India 6%, Turkmenistan 6% (1999)

Debt - external $5.5 billion (1996 est.)

Economic aid - recipient international pledges made by more than 60 countries and international financial institutions at the Tokyo Donors Conference for Afghan reconstruction in January 2002 reached $4.5 billion through 2006, with $1.8 billion allocated for 2002; according to a joint preliminary assessment conducted by the World Bank, the Asian Development Bank, and the UN Development Program, rebuilding Afghanistan will cost roughly $15 billion over the next ten years

Currency afghani (AFA)

Currency code AFA

Exchange rates afghanis per US dollar - 4,700 (January 2000), 4,750 (February 1999), 17,000 (December 1996), 7,000 (January 1995), 1,900 (January 1994), 1,019 (March 1993), 850 (1991); note - these rates reflect the free market exchange rates rather than the official exchange rate, which was fixed at 50.600 afghanis to the dollar until 1996, when it rose to 2,262.65 per dollar, and finally became fixed again at 3,000.00 per dollar in April 1996

Fiscal year 21 March - 20 March

NOTE: The information regarding Afghanistan on this page is re-published from the 2002 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Afghanistan Economy 2002 information contained here. All suggestions for corrections of any errors about Afghanistan Economy 2002 should be addressed to the CIA.