The Withdrawal of US Troops will Collapse the Afghan Economy by 10 Percent
OREANDA-NEWS. As a result of the withdrawal of US troops from Afghanistan the economy of this country will collapse greatly: it's GDP may decrease by 9.7 percent this year, the American rating agency Fitch reported on Wednesday evening, September 1. Earlier, it had forecast economic growth at the level of 0.4 percent.
For 2022, Fitch forecasts a further collapse of the Afghan economy at the level of 5.2 percent. «The extremely chaotic nature of the withdrawal of American troops and the seizure of power by the «Taliban» mean that economic hardships will be strongly felt in this country in the near future», Fitch warns.
According to experts, a more optimistic scenario can be achieved only if there is foreign investment. «An alternative and more positive economic scenario will mean that the average growth of the Afghan economy between 2023 and 2030 will be 2.2 percent, but for this some major economies, especially China and possibly Russia, should recognize the «Taliban» as a legitimate government and invest in large investment projects», Fitch experts said.
Afghanistan is one of the poorest countries in the world, despite the presence of such valuable natural resources as lithium, copper, rare earth metals and oil.