Afghanistan Banks Association

د افغانستان د بانکونو ټولنه
Afghanistan Banks Association
Voice of The Banks

Afghanistan Banks Association

Online Conference on “Facilitating Investment Opportunities in Afghanistan’s Energy Sector” Held

Date: August 12, 2025

The Afghanistan Banks Association (ABA), in collaboration with the Afghan-American Chamber of Commerce (AACC), organized an online conference titled “Facilitating Investment Opportunities in Afghanistan” on August 12, 2025.
The event brought together over 80 participants, including investors, traders, banks, business associations, international organizations, and representatives of domestic and foreign chambers and trade councils. The primary focus of the meeting was investment in Afghanistan’s energy sector, with participants engaging in extensive discussions and exchanging views.
Energy supply remains one of Afghanistan’s key challenges, with millions of dollars spent annually on importing electricity from neighboring countries. Replacing imports with domestic production would not only reduce the country’s dependence on foreign sources but also stimulate investment, boost economic activity, create jobs, and improve public welfare.
Mr. Matiullah Faeeq, Chairman of the ABA Board of Directors, delivered a presentation on the current state of the banking sector and the interest of banks in financing energy production projects. Moreover, Mr. Najibullah Amiry, Executive Director ABA highlighted the importance of the energy sector and the capacity of banks to invest in it.
Key Points and Outcomes:
1. Domestic and foreign investors are ready to participate in Afghanistan’s potential energy market to replace imports and create jobs.
2. International organizations expressed readiness to provide financial and technical support to the energy sector.
3. Afghan banks have sufficient liquidity and are willing to invest in the energy sector; Islamic banking products were identified as the most suitable financing tools.
4. Loan guarantees and support from international organizations could accelerate the financing process by banks.
5. Approximately USD 300 million is spent annually on imported energy — a major opportunity for investors.
6. Investment opportunities exist not only in electricity generation but also in distribution.
7. Solar, hydro, and wind energy are among the most promising areas for potential investment.
8. With more than 300 sunny days a year, Afghanistan has significant capacity for solar energy production.
9. Several companies active in solar energy have expressed interest in expanding their investments.
10. The Public-Private Partnership (PPP) model was emphasized as an effective approach to expanding energy supply.
11. Existing infrastructural, regulatory, and economic challenges can be addressed through joint efforts of all stakeholders.
12. The Afghanistan Banks Association reaffirmed its commitment to full cooperation with both domestic and international stakeholders in financing energy projects.