Sunday, 6 March 2016

Russia to turn debts payable by Afghanistan into non-refundable aid

Russian Federation to turn a long-standing debt owed by Afghanistan into an non-refundable aid. This announcement was made by the Afghan Finance Minister Eklil Hakimi on the 4th March following the conclusion of the 3rd joint session between Kabul and Moscow which focused on economic cooperation between the two nations. Minister Hakimi also welcomed Russia’s commitment to strengthening bilateral economic and social ties. At the session, the two parties conferred on resuming activities by Russian companies in various sectors in Afghanistan, mainly the housing industry. Afghanistan owes USD 2.4 bn in loans from foreign countries and financial firms during the past 13 years. Afghanistan obtained USD 970,000,000 in loans from Russia. The loans were needed to complete some of the infrastructure projects in the country.