ASSESSMENTS

Under the Taliban, Afghanistan’s Economic Outlook Goes From Bad to Worse

MIN READAug 30, 2021 | 18:55 GMT

Afghan women shop at a market area in Kabul on Aug. 23, 2021, following the Taliban's takeover of the country.

(HOSHANG HASHIMI/AFP via Getty Images)

The Taliban will struggle to provide core government services, maintain infrastructure and generate public investment to support growth in Afghanistan’s largely aid-dependent economy, which will create room for internal dissent and unrest by leaving subsistence agriculture and illegal activities as the main sources of revenue in the war-torn country. The Taliban takeover will exacerbate Afghanistan’s pre-existing economic challenges, while the combined effects of COVID-19 and a severe drought will create new ones. ...

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