In 2015, the institution “Richest Lifestyle” took a brief look at the poorest countries in Asia, and based on that, Afghanistan was recognized as the poorest country in the world. Of course, this was not the first time; in the years before and after, Afghanistan’s name appeared annually on the list of the world’s poorest countries.
According to the World Bank report, the percentage of the population living below the poverty line increased from 35.8% in 2011-2012 to 39.1% in 2013-2014. In 2016-2017, the poverty rate in Afghanistan rose to 55%, indicating a 16% increase compared to 2011-2012.
Furthermore, in 2019, the poverty situation in Afghanistan was concerning; reports indicated that around 19 million people in Afghanistan were living in poverty at that time.
But why and for what reasons is Afghanistan, despite being a country rich in mines and mineral reserves, still considered one of the poorest nations in the world, with its suffering people facing economic recession and increasing poverty rates every year? This is the question we will address in this note.
Some of the most important reasons for the increase in poverty in Afghanistan:
Devastating internal wars: Whenever the causes of the expansion of poverty in Afghanistan are discussed, the devastating internal wars can not be overlooked. Wars that, solely for the personal interests of a few warlords, not only caused unjust bloodshed but also led the majority of the country’s infrastructure towards destruction, resulting in reduced investment and increased unemployment in Afghanistan.
The incompetence of government officials: One of the main reasons for the spread of poverty during the Republic can be attributed to the incompetence of the current administration’s officials. Individuals who, despite their significant responsibilities, did not take any useful actions to improve the economic situation of the people and create job opportunities for various segments of society.
Reduction of international aid: Since the Kabul administration was highly dependent on foreign aid, after the withdrawal of international forces in 2014 and the subsequent reduction of foreign aid to Afghanistan, the country’s financial resources faced an unprecedented economic recession, leading to an excessive increase in the poverty rate.
Widespread corruption: Widespread financial corruption among the then government officials was another key factor in the increase of poverty and destitution in Afghanistan. While billions of dollars were flowing into the country at that time, this windfall money ended up in the pockets of a few individuals among the same warlords and self-proclaimed leaders.
It is worth mentioning that before the Taliban’s return to power, Afghanistan received about 8.5 billion dollars in aid annually, which covered 75 percent of public expenditures. Additionally, more than half of these foreign financial transfers were for military and security needs.
Lack of comprehensive security: The lack of security, which was itself a prerequisite for a republic, was considered another potential reason for the spread of poverty in Afghan society. At that time, the majority of national traders and capitalists were forced to leave the country to protect their lives and families, and as a result, with the outflow of capital from Afghanistan, unemployment also reached unprecedented levels in the country.
Negative consequences of poverty in Afghanistan:
Increased insecurity: During the twenty years of occupation, many people in this land became victims of insecurities stemming from the poor economic conditions to the extent that innocent people were killed for a mobile phone worth 5,000 Afghanis.
Increased migration and displacement: Another negative consequence of poverty during the rule of the Kabul puppet regime was the displacement of thousands of Afghans from their homes. People who, in order to earn a living, were forced to leave their homeland and spent many years away from their families and loved ones in exile.
Decline in education levels and illiteracy: The poor economic situation at that time had caused many families to keep their children out of school and send them to work to support the household expenses. This unfortunate event led to an increase in the illiteracy rate and pushed society towards ignorance and lack of knowledge.
However, after the interim government came to power, effective measures were taken to improve the economic situation of the suffering people of Afghanistan, such as implementing infrastructure projects (the Qosh Tepa Canal and the TAPI project), developing trade relations with regional countries (Russia, China, and Iran), and managing internal resources (mining and oil extraction), which, in a short period, have yielded significant results.
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