World Bank reopens office in Afghanistan

Bank to repay $50 million in dues to firms as economic engagement resumes under Taliban-led government

KABUL, Afghanistan (MNTV) — The World Bank has reopened its office in Kabul and announced it will begin repaying debts totaling $50 million to Afghan logistics and construction firms—signaling a possible revival of limited economic engagement with Taliban-led Afghanistan.

According to ToloNews, the decision follows recent negotiations between World Bank representatives and the Ministry of Finance. The outstanding payments, dating back to projects implemented before the Taliban takeover in August 2021, will be distributed in several phases.

“Based on figures verified by the World Bank, the institution owes approximately $50 million to logistics and construction companies in Afghanistan,” said Ahmad Wali Haqmal, spokesperson for the Ministry of Finance. “These confirmed debts will be paid to the respective companies in four stages through the Ministry of Finance.”

The move is seen as a potential first step toward resuming development initiatives and boosting Afghanistan’s stagnant economy, which has suffered severe setbacks since the withdrawal of foreign aid and international sanctions following the collapse of the previous Western-backed government.

Economic analysts have cautiously welcomed the development, urging the Taliban-led administration to engage more actively with international financial institutions.

“The World Bank’s repayment of debts to companies that implemented projects during the Republic era, but were unable to receive their dues, is a highly positive step,” said Mir Shakeeb Mir, an Afghan economic analyst. “This move could also play a major role in restoring donor confidence.”

Another analyst, Mir Shakir Yaqubi, emphasized the urgent need for broader international cooperation. “It is absolutely necessary for the Islamic Emirate to use every possible option to convince major international institutions to resume their projects in Afghanistan, as the country’s economic conditions, overall situation, and commercial needs require these offices to be active.”

After the Taliban returned to power in 2021, most international donors—including the World Bank—froze development funding, suspended projects, and closed local offices. The recent talks between the Ministry of Finance and the World Bank have sparked cautious optimism about the reactivation of select programs and a possible re-entry of global institutions under restricted conditions.