Afghanistan’s economy is imploding: UNDP

Afghanistan’s economy is imploding: UNDP

The United Nations has said that Afghanistan’s economy is imploding, with all but three per cent of households expected to fall below the poverty line in coming months.

In a bid to help ordinary Afghans, the UN Development Programme (UNDP) announced the launch of a “people’s economy” fund, to provide desperately needed access to cash. UN News reported that the fund will tap into donations frozen since the Taliban takeover in August.

UNDP chief, Achim Steiner, told journalists in Geneva, that Germany has already pledged $58 million of the more than USD 660 million required over the next 12 months.

“There are 38 million people who cannot be kept alive just from the outside”, he said. “We have to step in, we have to stabilise a ‘people’s economy’ and in addition to saving lives, we also have to save livelihoods.

“Because otherwise, we will indeed confront a scenario through this winter and into next year where millions and millions of Afghans are simply unable to stay on their land, in their homes, in their villages and survive.”

Steiner added that UNDP is now in touch with other donors to mobilise resources.

“Discussions over the last few weeks have focused on how we do find a way to be able to mobilise these resources in view of the economic implosion that is now unfolding and the international community’s repeated commitment not to abandon the people of Afghanistan”.

Last week, UN chief Antonio Guterres had urged the world to take action during a “make or break” moment for the country. “If we do not act and help Afghans weather this storm, and do it soon, not only they but all the world will pay a heavy price,” Guterres told journalists in New York.