Afghanistan seeks $6 billion from UAE companies for infrastructure projects

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KABUL (TCA) — Negotiations are underway between the Afghan government and companies in the United Arab Emirates on attracting an investment of $6 billion for Afghan infrastructure projects, Khaama Press news agency reported on September 20.

Officials in the Ministry of Energy and Water of Afghanistan have said that Afghanistan requires a total of $9 billion investment in the energy sector.

Water and Energy Minister Ali Ahmad Osmani told reporters in the UAE that the donor partners of Afghanistan including the United States Agency for International Development have made a commitment of $2 billion.

“The fund gap is about $5-6 billion in all infrastructure projects,” Osmani told reporters after the conclusion of a summit in Dubai.

Osmani added that Afghanistan is also in discussions with a few UAE companies for some of its gas, solar and hydro projects.

According to Afghan officials, the power generated from Afghanistan could be even exported to neighbouring countries like India and Pakistan, home to a 1 billion-plus population.

The latest attempts by the Afghan government with the support of its international allies to attract foreign investments in the energy sector of the country have come as efforts are underway to boost the domestic income of the country, specifically through investments in natural resources of Afghanistan.

Last week, Indian Prime Minister Narendra Modi pledged $1 billion in economic aid to Afghanistan after holding talks with Afghan President Ashraf Ghani in New Delhi. The aid would be used for building capacity in education, health, agriculture, energy, and infrastructure in Afghanistan.

Sergey Kwan

TCA