Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
The Taliban administration wants to formally join Chinese President Xi Jinping’s huge ‘Belt and Road’ infrastructure initiative and will send a technical team to China for talks, Afghanistan’s acting commerce minister said on Thursday.
Beijing has sought to develop its ties with the Taliban-run government since it took over in 2021, even though no other foreign government has recognized the administration.
Last month, China became the first country to appoint an ambassador to Kabul, with other nations retaining previous ambassadors or appointed heads of mission in a charge d’affaires capacity that does not involve formally presenting credentials to the government.
“We requested China to allow us to be a part of the China-Pakistan Economic Corridor and Belt and Road Initiative… (and) are discussing technical issues today,” acting Commerce Minister Haji Nooruddin Azizi told Reuters in an interview a day after the Belt and Road Forum ended in Beijing.
The Pakistan “economic corridor” refers to the huge flagship section of the Belt and Road Initiative (BRI) in Afghanistan’s neighbour.
Azizi said the administration would also send a technical team to China to enable it to “better understand” the issues standing in the way of it joining the initiative, but did not elaborate on what was holding Afghanistan back.
Afghanistan could offer China a wealth of coveted mineral resources. Several Chinese companies already operate there, including the Metallurgical Corp. of China Ltd (MCC) which has held talks with the Taliban administration, as well as the previous Western-backed government, over plans for a potentially huge copper mine.
“China, which invests all over the world, should also invest in Afghanistan… we have everything they need, such as lithium, copper and iron,” Azizi said. “Afghanistan is now, more than ever, ready for investment.”
Asked about the MCC talks, Azizi said discussions had been delayed because the mine was near a historical site, but they were still ongoing. “The Chinese company has made a huge investment, and we support them,” he added.
Investors have said security remains a concern. The Islamic State militant group has targeted foreign embassies and a hotel popular with Chinese investors in Kabul.
Asked about the security challenges, Azizi said security was a priority for the Taliban-run government, adding that after 20 years of war – which ended when foreign forces withdrew and the Taliban took over – meant more parts of the country were safe.
“It is now possible to travel to provinces where there is industry, agriculture and mines that one previously could not visit… security can be guaranteed,” Azizi added.
Afghanistan and 34 other countries agreed to work together on the digital economy and green development on the sidelines of the Belt and Road Forum on Wednesday.
(By Joe Cash, Ahmad Masih Noori and Charlotte Greenfield; Editing by Miral Fahmy)
Comments