Editor in Chief: Moh. Reza Huwaida Saturday, July 6th, 2024

Loans to Boost Agriculture

Before being dragged into conflicts, Afghanistan’s agriculture sector not only fulfilled basic necessities of Afghans up to a great extent but also the county had a good reputation for its certain agricultural products like almonds, pomegranates, pistachios, raisins, and apricots in international markets.

Agriculture stands to be the source of livelihood for about 75% of population in Afghanistan. Since the ouster of Taliban government, this sector has been developing but at a very slow pace. If the government and its international backers want to significantly aid food security in Afghanistan and support its economy, reviving the agriculture sector of the country is what they must pay attention to very seriously.

Over the past decade, the Afghan farmers have learnt much on how to increase productivity and improve produce but have not been able to put their acquired knowledge due to lack of financial support in the form of loans. Investment in Afghan agriculture sector is being deemed highly risky due to certain obstacles such as inadequate rule of law, ongoing armed conflict, and an absence of credit culture

Despite that Agricultural Development Fund (ADF), a financial institution established by USAID grant in 2010 and operating under Afghanistan's Ministry of Agriculture, Irrigation and Livestock (MAIL) is providing thousands of farmers and agribusinesses with loans for everything from buying certified seed to building farm equipment. 

According to MAIL officials, in order to boost agricultural production, the amount of loans being provided to farmers will reach $30 million this solar year while it will amount to $100 million by the end of the next year. This will be a great aid to reviving the agriculture sector of Afghanistan. This is the first step of its kind and should be welcoming for the farmers of Afghanistan.  

Agricultural loans provided to the farmers based on the conditions suitable for them can be a great aid to the development agriculture sector of Afghanistan.  Development in agriculture sector of Afghanistan can play a very vital role not only in the country’s economy but also for bringing stability in here. The Taliban encourage the famers towards cultivation of poppy crops and even provide them advance loans. This is the major of source for insurgents to finance their operations. When the farmers become confident that the government is supporting them in farming activities and their products are sold at reasonable prices, they would definitely give up accepting the guidance and assistance of insurgents.

The MAIL with support from foreign organizations must formulate more useful policies to change the life of Afghan formers for better.  In this way not only Afghanistan will move towards self-reliance in agricultural products but also it will be able to enhance export of agricultural items to the world.