World Bank: Afghanistan Faces Decades of Budget Shortfalls

Posted November 22nd, 2011 at 6:30 pm (UTC-5)
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The World Bank predicts Afghanistan will face an annual $7 billion annual budget shortfall over the next 10 years, meaning it must rely on foreign aid for years to come.

The new World Bank report says the Afghanistan cannot raise enough revenue to pay for basic government services. This is on top of what it will cost to maintain an army and police force when U.S. and NATO-led forces pull out.

The report says international donors would have to keep up foreign aid to Afghanistan to make up for its $7 billion yearly deficit or the country could face another period of destabilization.

Afghanistan is looking towards its burgeoning copper and iron ore mining industry and drought-free agriculture as major roads towards self-reliance.