Afghanistan and Central Asia : strengthening trade and economic ties

Afghanistan needs to capitalize on the potential for greater trade with its Central Asian neighbours, especially given the current headwinds facing the Afghan economy. Particular promise exists for: energy trade; transit trade linking Central Asia with South Asia; and trade among border communities. However, at present trade relations are extremely limited and significant barriers to further integration remain including tariff and non-tariff barriers, as well as transport and connectivity issues. This paper review the current state of trade and economic ties between Afghanistan and Central Asia and makes recommendations for strengthening future linkages. The paper was initially prepared as a background paper for the ESCAP Regional Dialogue on 'Strengthening Trade and Economic Linkages Between Afghanistan and Central Asia' held in Almaty, Kazakhstan on 10-11th March, 2015.

Afghanistan needs to capitalize on the potential for greater trade with its Central Asian neighbours, especially given the current headwinds facing the Afghan economy. Particular promise exists for: energy trade; transit trade linking Central Asia with South Asia; and trade among border communities. However, at present trade relations are extremely limited and significant barriers to further integration remain including tariff and non-tariff barriers, as well as transport and connectivity issues. This paper review the current state of trade and economic ties between Afghanistan and Central Asia and makes recommendations for strengthening future linkages. The paper was initially prepared as a background paper for the ESCAP Regional Dialogue on "Strengthening Trade and Economic Linkages Between Afghanistan and Central Asia" held in Almaty, Kazakhstan on 10-11th March, 2015.