ISLAMABAD, PAKISTAN – The World Bank announced that the organization will channel $300 million to support critical service delivery in Afghanistan. The money, according to the Bank, will be disbursed through UN agencies that have a wider presence on the ground than the World Bank.
In a press release on Thursday, February 15, the World Bank said that its Board of Executive Directors has endorsed an “adjusted approach” to support the people of Afghanistan.
As part of the new approach, the bank said it would allocate the $300 million fund from the International Development Association (IDA) through UN agencies or other international organizations to deliver essential basic services in the country, with a particular focus on initiatives benefiting women.
Since reclaiming power in August 2021, the Taliban authorities have enforced a stringent interpretation of Islam, with women disproportionately affected by laws that the United Nations has characterized as “gender apartheid.”
Since then, in response to the Taliban’s restrictions on women and girls, many governments, international organizations, and aid agencies have cut off or significantly reduced their funding for Afghanistan, a move that has led to severe economic consequences and far-reaching implication.
The Bank’s renewed engagement approach with Afghanistan, will also resume the construction of CASA-1000, a major regional energy infrastructure project that was halted by the Taliban’s return to power in August 2021.
The Bank’s renewed engagement approach with Afghanistan, will also resume the construction of CASA-1000, a major regional energy infrastructure project that was halted by the Taliban’s return to power in August 2021.
The World Bank says its board of directors have approved the resumption at the request of three of Afghanistan’s neighboring countries participating in the project where construction is nearly finished. Tajikistan, the Kyrgyz Republic and Pakistan are worried that long-term delays will risk the project becoming a stranded asset.
“As with the IDA funding, this project will be carried out in a way that ensures it does not involve the Taliban government’s systems,” it added.
The World Bank says it has provided over $1.5 billion to Afghanistan since August 2021, supplying critical basic services such as food, water, health care, education, and employment opportunities, benefiting more than 25 million people in the country.
The economic and humanitarian crises, however, continue to deepen in the country. The World Food Programme (WFP) recently announced that it expects almost 16 million people in Afghanistan to need assistance this winter, with 2.8 million at an emergency level of food insecurity. “4 million people are acutely malnourished, including 3.2 million children under the age of 5,” it said.
The World Bank says it will also expand its analytical work on private sector, financial services and poverty through the Afghanistan Futures research initiative that provided data and research analysis for several years, including its flagship bi-annual Afghanistan Development Update.
Two days ahead of a major UN conference on Afghanistan in Doha, the World Bank announcement signals more willingness from the outside world to return to normalcy in their approach to Afghanistan and move beyond the mere provision of humanitarian aid.
