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Why is Afghanistan unable to extract its vast mineral wealth?

28th May, 2019 · admin

ministryofminelogoAl Jazeera: Rich in copper, lithium, talc, marble, gold, uranium and others, Afghanistan’s vast mineral wealth is estimated to exceed one trillion dollars. But according to data, every year the government loses around $300m in revenue from mining. Poor security, the lack of proper legal framework and organisational capacity, as well as corruption, have prevented the development of the sector.  Deficient infrastructure makes transport and export difficult, while high royalties and taxes imposed by the Afghan government have discouraged potential investors.  As a result, the mining sector currently contributes only between seven and 10 percent of Afghanistan’s GDP.  Click here to read more (external link).

Posted in Corruption, Economic News, Security | Tags: Natural Resources, rare minerals |
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