Afghanistan signs major mining deals in development push

The deals are expected to revive projects in Afghanistan that have been stalled for years. (AFP)
Updated 07 October 2018
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Afghanistan signs major mining deals in development push

  • The deals follow a push by US and Afghan authorities to develop mineral resources estimated at $1 trillion

KABUL: Afghan officials have signed contracts for two major mining projects in northern Afghanistan, pushing ahead with plans to develop the country’s mineral reserves but drawing criticism over the involvement of a former minister in the project.
The deals were signed in Washington on Friday with mining and investment group Centar and its operating company Afghan Gold and Minerals Co. to develop two sites in Badakhshan and Sar-e Pul provinces with potentially major gold and copper deposits.
The deals, reviving projects that have been stalled for years, follow a push by US and Afghan authorities to develop mineral resources estimated to be worth some $1 trillion and seen as vital to building a functioning economy in Afghanistan after four decades of war.
“This investment will be transformative for Afghanistan,” Sadat Naderi, Chairman and President of Afghanistan Gold and Minerals, said in a statement.
“Once we begin mining, the country will benefit from major investments in infrastructure as well as fiscal revenue from our projects,” he said.
Poor security, rampant corruption and a lack of roads, power and other infrastructure, have hampered development of Afghanistan’s mining sector. The few major deals which have been signed, including the vast Mes Aynak copper project signed with China’s state-run China Metallurgical Group Corp, have so far remained largely inactive.


’Worrying signal’
The involvement of Naderi, who served as urban development minister until June this year, has been criticized by campaigners including Integrity Watch Afghanistan, which said it was a “clear breach” of rules barring former ministers from holding concessions after leaving office.
Under Afghan law, ministers may not hold mining contracts for five years after leaving office.
Ikram Afzali, Executive Director of Integrity Watch Afghanistan and a member of the Mining Watch Afghanistan civil society group, said it would send a “very worrying signal” if some of the first major mining contracts it signed had question marks over them.
A spokesman for the ministry of mining in Kabul rejected the criticisms, saying the deal was approved in 2012, before Naderi became a minister, and had been thoroughly vetted and approved.
“These contracts have passed through all legal stages, there is no legal issue. We reject all criticism,” the spokesman said.
Centar also said the bidding project “followed a transparent, standards-based and competitive bidding process supported by international transaction and transparency advisers.”
The copper project in Balkhab district in Sar-e Pul is an early stage exploration project covering 500 square km, with development due to begin in early 2019, Centar said. A spokesman for the ministry of mining in Kabul said the contract would run for 30 years and involve $56 million investment.
The second project, a gold mining operation in Badakhshan in northeastern Afghanistan, will explore and develop an area with known gold deposits that have long been exploited by artisanal miners. Exploration is due to begin next year.
A ministry spokesman in Kabul said the project would also run for 30 years and involve investment of $22 million.


Filipinos celebrate Christmas on a budget amid soaring costs

Children spend the afternoon at Quezon Memorial Circle in Quezon City, Philippines on Dec. 23, 2025. (PNA)
Updated 55 min 52 sec ago
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Filipinos celebrate Christmas on a budget amid soaring costs

  • Filipinos are choosing modest Christmas gifts, scaling down year-end festivities
  • Millions look to content creators for tips on how to spend less for Christmas dinner

MANILA: As the predominantly Catholic Philippines celebrates one of its most important annual holidays on Thursday, many Filipinos have been forced to rethink their traditional Christmas celebrations amid soaring prices. 

This year, street food vendor Gemma Gracia is among those who will keep her business open during the holidays. 

“As a vendor, I’ve felt the prices go up since I also still buy at the market for our needs and for our selling needs,” she told Arab News. 

But as celebrating Christmas was important for her family, the 39-year-old has allocated 1,000 Philippine pesos ($17) for a family meal out at Jollibee, the Philippines’ biggest fast-food chain restaurant. 

“When you don’t have food to share on the table on this holiday, it’s a sad day. That’s why we make sure that we always have something on the table each year,” she said. 

For many Filipinos, the time-honored traditions of Noche Buena, or Christmas Eve, is the most awaited part of this holiday season, when dinner tables across the country are filled with a hearty selection of traditional dishes. 

Noche Buena, which is Spanish for “the good night,” is the dinner that follows the last evening mass of the season, known as misa de gallo or simbang gabi.

In the Philippines, such festive staples include meaty Filipino-style spaghetti and hamonado, the local version of a Christmas ham that usually serves as the centerpiece of Christmas dinner tables.

But the pinch from rising prices has affected Filipino shoppers in recent years, forcing them to adjust according to their budget. 

Although the country’s central bank said inflation had eased to 1.5 percent in November, many say the statistics do not reflect on-the-ground realities, where people reel from rising retail prices, shrinking portions and diminishing purchasing power of the peso. 

Allan Manansala, a 48-year-old construction worker in Manila, told Arab News that he is expecting to spend 5,000 pesos for his family of five in 2025, nearly a third of his monthly wage and about a fifth higher than what he spent in previous years. 

“I might have to skip giving my children gifts this year because of the costs,” he said. 

To get around the high costs, Manansala is skipping the Noche Buena festivities altogether and has instead decided to splurge on New Year’s Eve dinner, which is also a significant occasion in the Philippines. 

Others, like Allan Melenio, look for different ways to save up. 

“Our relative owns a meat shop, so we’re able to save on that since the prices are quite low,” he told Arab News. “But everywhere else, a piece of meat can cost so much.” 

While the economy has forced Filipinos to make smarter choices and get creative, content creators are among those offering ideas to address consumers’ woes, teaching people how to stretch their meager budgets for the holidays. 

One such tip came from Ninong Ry, a food content creator who challenged himself to prepare an eight-dish Noche Buena dinner with a budget of 1,500 pesos. Posted about two weeks before Christmas, his one-hour YouTube video has since garnered more than 1.4 million views. 

The video was also a response to comments from Philippine Trade Secretary Cristina Aldeguer-Roque, who suggested last month that 500 pesos was enough for a family of four to host a modest Christmas Eve dinner, sparking anger among Filipinos who said she was out of touch with reality. 

Jelmark Toqueb, who works as a plumber in Manila, said that the 500-peso budget was unrealistic. 

“It is clearly not enough. (Five hundred pesos) is not even enough for you to cook spaghetti with meat. Maybe just the noodles and the sauce,” he told Arab News.

For 32-year-old Toqueb and his wife, who works as a public school teacher, the holiday season remains a cherished occasion to spend quality time with the family. As their Christmas tradition involves gift-giving, he chose more modest presents this year to circumvent the high costs. 

“The prices now are different even from last year, (when they were) already high,” Toqueb said. “Even if the gift is simple, it’s fine. It’s the thought that counts.”