Afghanistan Economics

Strengths
Very few, apart from illicit opium trade. Agriculture, still the largest sector, accounted for 45% of GDP in 1986–1987.

Weaknesses
The economy has collapsed. No end to factional fighting in sight. Damage to agriculture, with domino effect on industry. Inaccessible terrain and severed communications links.

Profile
Following ten years of war between the Soviet-backed Kabul government and "mujahideen rebels," and subsequent "mujahideen" in-fighting, Afghanistan is one of the poorest and least developed countries in the world. It is estimated that $4 billion is needed to rebuild the country and that 80% of its infrastructure has been destroyed. Agricultural activity has fallen back from pre-1979 levels; the Soviets' "scorched earth" policy laid to waste large areas and much of the rural population fled to the cities. Many farmers are now turning back to opium production. Afghanistan is regarded by the UN as the world's largest opium producer. However, most profits are made by Pakistani middlemen.