Ghulam Ahmadi, Afganistan Business Opportunities

transcript

www.afghanfinnishbc.com

LAND OF GOLD, RUGS AND

DESERT

Afghanistan Today

o Afghanistan, with its improving infrastructure, mechanisms and

rebuilding processes is now turning into one of the key emerging

markets in the region.

o As in ancient times(Silk Road), the trade route is enabling Afghanistan

to become not only a regional but global business hub.

o Market economy is helping the private sector to develop and hence

creating countless business and job opportunities.

o The National Unity Government(New Government)is committed to

make Afghanistan as a vibrant and self-reliant economic country.

o Investment Incentive Policy in consideration special privileges for investors who either

will invest or extend their businesses during the transition (2012 – 2015) and

transformation (2015 – 2024) periods

The strategic FIVE sectors:

1)Industry

2)Construction

3)Export promotion

4)Agriculture

5)Mining.

WHY INVEST IN AFGHANISTAN?

A virgin market with untapped investment opportunities.

Liberal investment law that allows 100% foreign ownership, full

transferability of profit

One of the lowest custom tariffs in the region

Low tax rates

Availability of natural resources.

Access to regional markets.

Improving physical infrastructure

Flat 20% corporate tax

No restrictions on inward/outward capital flow

No restriction on profit or other cash repatriation

No import duties on machinery; and 1% duty on raw and

intermediate materials

INVESTMENT OPPORTUNITIES (1)

1.Agriculture:

About 75% of Afghans are directly or indirectly dependent on

agriculture sector.

Low rate of investment (only less than 4 per cent of the total domestic

and foreign investments.)

Due to its fertile soils, abundant water resources, and favorable

climate conditions, Afghanistan produces high quality organic products

which have excellent market value.

The greatest capacity and profitable investment opportunities (in

Processing, Packaging & Cold Storages) for foreign and local

investors.

2. Industries:

Mining (More than $ 3000 Billion worth of identified deposits includes ; copper, iron, ore, coal, hydrocarbons, gold, Lead and Zinc, Molybdenum, Lithium, Rare Earth Elements (REE) and semi-precious gemstones )

Oil and petroleum( estimates 1.6 billion barrels of crude oil, 16 trillion cubic feet of natural gas and 500m barrels of natural gas liquids is located in north of the country).

Civil Aviation (Private stronger then public)

Construction (Roads and Railways,

housing market, new Kabul home for 1.5 million people ).

Power generation.( almost all imported, Dams but hydro plants needed)

Food processing , packaging , cold storage and beverages production.

2. Services:

Banking and insurance,

Telecommunication and IT(TeliaSonera own 12,25 %. Biggest

operator Roshan, About 2,500,000 access to internet, )

Telecom Statistics - 2014

GSM Subscribers 21,588,228

CDMA Subscribers 181,0773G Broadband Subscribers 699,759Landlines 98,957Penetration 83%

Investments in US$2,398,763,897

Telecom Base Stations 5,835

Population CoverageOver 89%

Higher Education,(in decade 8 million enrollment, many private)

Health,( Tooo many foreigner owned private hospitals)

Logistics and Transportation(land bridge connecting emerging markets in Middle

East, Central and Southern Asia, six neighbors , planning silk road, Lajoward

INVESTMENTS

Private Investment by Sector (2003-2011)

THANK YOU

AFGHAN-FINNISH BUSINESS COUNCIL