Afghanistan

Afghanistan's Challenges

Worsening security and the global downturn have made the socioeconomic situation even more difficult. Severe drought caused a sharp fall in agricultural output and a slump in GDP growth in the licit (nonopium) economy. Lower farm output and the escalation of global food and fuel prices pushed inflation to its highest level in 5 years, but it began to moderate toward the end of the year. The challenges are daunting, and, to name but a few, involve the need to strengthen security, rehabilitate basic infrastructure, combat narcotics production, improve the rule of law, strengthen public policy management, and foster private sector growth.

• Download Asian Development Outlook 2009: Afghanistan [ PDF ]