Rare Visit by US Business Delegation to Taliban-Controlled Afghanistan

09 Sep, 2023

Rare Visit by US Business Delegation to Taliban-Controlled Afghanistan

An American private sector delegation initiated discussions in Afghanistan with local officials on Wednesday, marking the first engagement since the Taliban took control of the country from a U.S.-backed government two years ago. Leading the delegation is Jeffrey Grieco, the president of the Afghan-American Chamber of Commerce (AACC) in the United States.

During a televised meeting in Kabul, co-hosted by Grieco and Taliban Deputy Prime Minister for Economic Affairs Abdul Ghani Baradar, Grieco highlighted the U.S. government's support for the visit. A U.S. State Department spokesperson confirmed the presence of a delegation from the American Chamber of Commerce in Afghanistan, along with "individuals with business interests," in Kabul.

The spokesperson confirmed, 'We support the Afghan people in their endeavors to rebuild their economy.'"

Grieco, an American businessman, commended the de facto Afghan authorities for establishing relative peace and reducing corruption in the country. He acknowledged that challenges remained but emphasized his team's commitment to bolstering private sector activities and alleviating the hardships faced by Afghans over the past two years.

"In the coming year, Afghanistan will face comparable difficulties as donors decrease their financial backing, encompassing vital humanitarian food security and other funding, precisely during a crucial phase in the nation's revival.." needs funding for humanitarian purposes," he said.

The U.N. World Food Program recently announced a "massive funding shortfall," leading to reduced rations for 10 million people in Afghanistan this year and warning of an impending catastrophe.

Grieco emphasized the potential of the private sector to drive positive change and support Afghanistan during its challenging period. He praised local women business leaders in attendance and stated, "We think that business is the way to increase knowledge and expand program activities for the core in Afghanistan."

Baradar, in his keynote speech, highlighted his government's efforts to establish nationwide "comprehensive security" and "clear investment regulations" to attract both domestic and foreign investments. He mentioned mining contracts signed in Kabul with Asian and European investors, including those from China, Turkey, Iran, and Britain, worth nearly $6.5 billion.

Grieco pledged to collaborate closely with Baradar's office to promote business-to-business ties and stressed the importance of the Taliban ensuring security and protecting investment assets.

"The Emirate government is ready for a market-based economic system for Afghanistan," Grieco said, referring to the official title of the Taliban administration, the “Islamic Emirate of Afghanistan.” He contrasted this with the previous government's lack of understanding of such a system.

Grieco also mentioned his team's efforts in Washington to facilitate the return of Afghanistan's frozen foreign exchange reserves of about $9 billion, currently held in U.S. central banks and European countries. Economic sanctions on the Taliban have temporarily halted the funds' return, but there is a shift in the U.S. government's thinking on this issue.

Arthur Groom, a long-time international gemstone investor in Afghanistan, shared his company's commitment to remaining in the country despite the challenges. He aims to introduce technology to modernize the mining sector and teach modern gem-cutting techniques to empower locals and the government to benefit from their natural resources.

The Taliban regained power in August 2021 following the withdrawal of U.S.-led NATO troops after nearly 20 years of conflict with the insurgent group. Since then, the Taliban has imposed strict interpretations of Islamic law, including restrictions on girls' education and women's employment.

These restrictions have hindered international recognition of the Taliban government, but Afghanistan's neighboring countries and many regional nations have maintained or reopened their embassies in Kabul.

The Taliban has asserted that they have brought peace to Afghanistan and reduced illicit narcotics production, aligning their policies with Afghan culture and Islam. They have defended their internal affairs from international interference.

Despite these developments, the U.S. State Department continues to advise against travel to Afghanistan due to the high risks associated with civil unrest, armed conflict, crime, terrorism, and kidnapping.