Hazara Nation

The Frontier Post
The World Bank will focus its aid to Afghanistan on the revival of agriculture and enhanced food production to help the impoverished country in becoming self-sufficient in that important sector Dr. Ngozi Okonjo-Iweala, managing director of the World Bank, told a press conference here on Tuesday World Bank would provide Afghanistan a grant of $255 million for eight development projects during the current year.

She said the reason for shifting the focus to agriculture and food production was that fuel and food prices had witnessed huge spikes in the international market. Prevailing market trends had an enormous effect on food prices in Afghanistan, she reasoned. Dr. Ngozi Okonjo-Iweala informed journalists the World Bank would finance uplift projects of the Ministry of Rural Rehabilitations and Development (MRRD), infrastructure plans, agriculture, health and power supply schemes. The managing director, who arrived here two days back to assess the banks activities in Afghanistan and meet Afghan officials on preparations for the Paris Conference, said her discussions with President Hamid Karzai revolved around on Kabuls homework for the important donors moot in Paris.

On Monday, she visited Bamyan to inspect projects funded by the World Bank. She hailed the Afghan governments achievements in health and education sectors over the last few years. In the same breath, however, she made clear the progress made hitherto was inadequate and there was need for further improvement. Before concluding her three-day visit, she reaffirmed World Banks long-term commitment to building a prosperous and stable nation. She went to Bamyan to see first-hand how local communities were coming together to define priorities and build essential infrastructure with the support of the government. Only Afghans can develop Afghanistan. They must therefore rise to the challenge and tackle the difficult issues of building institutions, fighting corruption and improving service delivery to ordinary citizens, the visiting managing director stressed. According to a press release from the World Bank here, she believed the international community should support Afghanistan and its development and recognize that the process would require their long-term engagement.

The World Bank recently committed a $30 million grant to help improve sustainability of microfinance sector in Afghanistan, where access to microfinance services has reached over 436,000 Afghans in 23 provinces. Sixty five percent of borrowers are women. Since resumption of operations in Afghanistan in April 2002, the World Bank has financed 37 projects, committing around $1.66 billion of which $1.2 billion is grant and $436.4 credit (interest-free loan). By the end of the current fiscal year, the World Bank commitment will be $255 million in grants. The projects mostly support rural livelihoods, rebuilding infrastructure, education and basic health services.