USAID Support for Trade and Private Sector Development in Afghanistan and the Region

Donald “Larry” SamplerAssistant Administrator

USAID Office of Afghanistan and Pakistan Affairs

September 3, 2015

Liberalized Trade Policies

USAID/Afghanistan Provides Technical Support for Regional Trade Agreements that Are Already Improving Framework for Regional Trade

• South Asia Free Trade Agreement (SAFTA - in effect since August 2011) has increased trade between Afghanistan and SAFTA countries by xx%

• Afghanistan Pakistan Transit Trade Agreement (APTTA- in effect since June 2011) now gives Afghan trucks legal access to ports in Pakistan and Wagah; Pakistani trucks can access Central Asia

• Technical Support for New Regional Agreements – Pakistan Afghanistan Tajikistan Transit Trade Agreement, Cross-border Transportation Agreement (CBTA, Lapis Lazuli

WTO Accession

• Afghanistan has made great strides toward WTO accession – which levels the playing field in international trade.

• All bilateral market access negotiations completed. Most key required legislation completed or in process

• Next Working Party Meeting – still to be scheduled - may well complete the process

Customs Reform and Harmonization in Afghanistan

• Continued assistance to Afghan Customs to implement reforms to streamline procedures, increase effectiveness, and improve transparency.

• Since 2008, helped reduce customs clearance times from days to hours in many cases.

• May 2015 launch of e-payments at Kabul International Airport and Customs Depot

• Support for implementation of International Road Transport (TIR) customs transit system to simplify cross-border trade – re-activated in Afghanistan in 2013.

Business to Business Support

• Trade expos for Afghan businesses in Afghanistan, Dubai, Dushanbe, Germany, India, Milan, Almaty resulted in millions of dollars in completed deals

• USAID’s public private alliances incentivize Afghan businesses to invest in their growth – of the $157 million combined investment over 80% was provided by Afghan businesses, creating over 2000 jobs.

Projects in the Region

Afghanistan Trade and Revenue Project (ATAR) ($77.7 million)- 2013 – 2017 Focus: Trade liberalization, regional trade policy, customs reformInnovative coordination and support mechanisms for the region – project staff in Ashkhabad, Tashkent, Bishkek and Dushanbe.

Pakistan Regional Economic Integration Activity (PREIA) ($15 million) to start soon – 2015 - 2020Focus: Trade liberalization, trade and transit facilitation

Assistance in Building Afghanistan by Developing Enterprises (ABADE) ($105 million) – 2012-2016Focus: Public-Private Alliances, technical assistance, business enabling environment

Thank You!