Economy of Afghanistan
An overview of key economic indicators. Select a category for detailed trends, charts, and insights.
Explore Economic Domains
Growth & Output
Trade & Finance
Labor & Income
Energy & Environment
Economic Snapshot Overview
A summary of key economic indicators for Afghanistan
- The economic architecture of Afghanistan is substantial, anchored by a Gross Domestic Product (GDP) of approximately $17.23B2023. This places it as the 128th largest economy out of 191 countries measured, underscoring its significance on the world stage. On a per capita basis, GDP stands at $415.712023, while its GDP adjusted for Purchasing Power Parity (PPP) is estimated at $91.67B, offering a clearer picture of the population's domestic purchasing power. The economy demonstrates solid, consistent growth, expanding at a healthy rate of 2.7%2023, accompanied by a stable price environment, with inflation (CPI) contained at -6.6%.2024
- On the global stage, Afghanistan's trade and financial dynamics reveal a complex interplay of international and domestic factors. The nation's economic activity is heavily reliant on foreign goods, running a considerable trade deficit with imports at 50.5% of GDP and exports at 16.8%2023. The investment climate attracts significant Foreign Direct Investment (FDI), with inflows constituting 0.14% of the economy2021. This performance positions the country 161st globally out of 186 nations, confirming its status as a competitive destination for foreign capital. Furthermore, personal remittances from its diaspora are a vital component of the economy, amounting to a substantial $320M annually2023. The government operates under fiscal constraints, with a limited tax base that generates revenue equivalent to only 9.9% of GDP.2017
- The socio-economic landscape is characterized by a Gross National Income (GNI) per capita of $3802023, ranking the nation 189th out of 190. This figure provides a comprehensive measure of the average income per person, reflecting the nation's overall economic well-being. The country confronts significant labor market challenges, evidenced by a high unemployment rate of 13.3%.2024A key feature of the workforce is its concentration in the services sector, which accounts for 36.1% of total employment2023. Despite its economic standing, poverty remains a salient issue, with 54.5% of the population living below the national poverty line2016.
- In the environmental and energy sectors, the nation's policies and outcomes reflect its developmental priorities. The energy portfolio remains heavily dependent on conventional sources, with renewables contributing a modest 20.0%2022. This commitment places it 85th among 190 countries, highlighting its relative progress in decarbonization. Total greenhouse gas emissions were last recorded at 29.46K tonnes of CO2 equivalent2023, a key factor in its national climate strategy and international obligations.
Key Economic Insights
Macroeconomic Health
Balancing growth, inflation, and employment remains the core challenge for economic stewardship.
Trade & Investment Profile
The economy is largely insular and consumption-driven, relying heavily on imports and showing limited integration into global export markets.
Social Equity & Distribution
Ensuring equitable distribution of economic gains is fundamental for long-term social and political stability.
Energy & Sustainability
The transition to a sustainable energy framework is paramount for mitigating climate risk and securing future energy needs.
More About This Country
Neighbors & Regional Peers
Note: The information on this page has been compiled from authoritative sources. While every effort is made to ensure accuracy, please note that some figures may not be current or entirely precise.