The U.S. Trade and Development Agency (USTDA) has awarded $600,000 worth of grants to Afghanistan's Ministry of Commerce and its Ministry of Communications to help fund private sector development in the country.

According to an August 8 press release from the U.S. Embassy in Kabul, the Commerce Ministry was awarded $373,000 to fund technical assistance for an industrial park and the Communications Ministry was awarded $219,550 to fund technical assistance for a fiber optic ring that will connect Afghanistan's major cities.

The proposed industrial park will allow potential investors to enjoy better risk management, lower up-front capital costs, and an accelerated project start-up. The planned fiber optic ring will connect Kabul, Kandahar, Herat, Mazar e Sharif, and Baghlan and "will be capable of serving as a telecommunications backbone for approximately 90 percent of Afghanistan's population," according to the press release.
 
"Private sector development is the cornerstone to Afghanistan's future growth and success. Both of the U.S. Trade and Development grants signed today are consistent with the vision that private sector development offers great economic opportunities to Afghans," said U.S. Embassy Deputy Chief of Mission Dick Christenson in the press release.

U.S. Embassy Kabul
Office of Public Affairs
For Immediate Release
August 8, 2004 

U.S. Government Awards $600,000 to Ministry of Commerce and Communications
 
Kabul, Afghanistan- The U.S. Trade and Development Agency (USTDA) on Saturday, August 7, signed grants with Afghanistan's Ministry of Commerce and the Ministry of Communications. U.S. Embassy Deputy Chief of Mission Dick Christenson, the Minister of Commerce Seyyed Mustafa Kazemi, and the Deputy Minister of Communications Hassam Baryali signed the grants at the Afghan Investment Support Agency.
 
The Ministry of Commerce was awarded $373,000 to fund technical assistance of an industrial park. While the Ministry of Communications was awarded $219,550 to fund technical assistance for a fiber optic "backbone" connecting Afghanistan's major cities - Kabul, Kandahar, Herat, Mazar e-Sharif and Baghlan.
 
"Private sector development is the cornerstone to Afghanistan's future growth and success. Both of the U.S. Trade and Development grants signed today are consistent with the vision that private sector development offers great economic opportunities to Afghans," said Deputy Chief of Mission Dick Christenson.
 
The Ministry of Commerce funding will allow investors to better manage risk, lower their up-front capital costs, and accelerate project start-up. The grant awarded to the Ministry of Communications will create a fiber optic ring connecting Kabul, Kandahar, Herat, Mazar e Sharif, and Baghlan. When complete, the 2,476 km fiber optic ring will be capable of serving as a telecommunications backbone for approximately 90% of Afghanistan's population.