KABUL (SW) – Iranian investors have expressed interest in investing in Afghanistan’s mining sector.
Recently, a group of Iranian investors met with Hedayatullah Badri, Acting Minister of Commerce and Industry (MoCI), to discuss investment opportunities in Afghan mines.
According to the Ministry of Mines and Petroleum, Iranian interest has largely focused on Afghanistan’s iron ore deposits. Currently, some Iranian companies are already investing in the Ghorian iron ore mine in Herat.
“Iranian investors have shown their interest in investing in Afghan mines, particularly iron ore. The Minister of Mines and Petroleum has promised cooperation based on the ministry’s principles and conditions,” spokesperson for the Ministry of Mines and Petroleum Homayun Afghan told Salam Watandar.
Over the past three years, the de-facto Islamic Emirate government has made efforts to improve trade and economic relations with Iran and to increase Afghanistan’s use of Iran’s Chabahar Port.
In the first quarter of the current solar year, Afghanistan had $688 million in trade with Iran. This includes $15 million in Afghan exports and $673 million in imports, according to the MoCI.
Akhundzada Abdul Salam Javad, spokesman for the ministry, explained: “Afghanistan’s exports to Iran included minerals, raisins, beverages, and sesame seeds, while imports consisted mainly of diesel and petrol, raw materials for factories, natural gas, and cement.”
Both Iran and Afghanistan face international economic sanctions. Economic experts suggest that strengthening trade and economic relations between the two countries could mitigate the impacts of these sanctions.
Fahim Chakari, an economic analyst, stated: “Increasing trade interactions and Iranian investments in Afghanistan will benefit both countries significantly.”
Despite ongoing efforts to enhance trade relations, Afghanistan’s utilization of Iran’s Chabahar Port has not yet reached its optimal level.
Afghanistan has mines of copper, lithium, iron, gold, niobium, cobalt and some other precious mineral reserves, and in the last three years, investors from many countries have announced their readiness to invest in Afghanistan’s mining sector.
