Concerns have been raised by the UK's aid watchdog over the reduction in funding for Afghanistan. PA
Concerns have been raised by the UK's aid watchdog over the reduction in funding for Afghanistan. PA
Concerns have been raised by the UK's aid watchdog over the reduction in funding for Afghanistan. PA
Concerns have been raised by the UK's aid watchdog over the reduction in funding for Afghanistan. PA

UK aid budget cuts have halted vital programmes in Afghanistan


Nicky Harley
  • English
  • Arabic

The UK's aid watchdog has raised concerns over cuts to the humanitarian assistance budget that have led to vital projects in Afghanistan being halted or delayed.

In its report, published on Thursday, the Independent Commission for Aid Impact highlighted that reductions to the UK’s funding commitment for 2022-23 have resulted in programmes for polio vaccinations and the clearance of landmines and improvised explosive devices being suspended.

Funding for humanitarian assistance to Afghanistan 2022-23 had already been reduced to £246 million and the budget for 2023-24 has been lowered further to £100 million.

It said “funding unpredictability” has hampered the UK’s approach as the humanitarian crisis in Afghanistan continues to worsen and there is little prospect for improvement.

The commission has also warned the economic and humanitarian situation in Afghanistan remains “dire” almost two years after the Taliban takeover.

The UN Office for the Co-ordination of Humanitarian Affairs has reported that 28.3 million people – two thirds of Afghanistan’s population – will need humanitarian assistance in 2023, a 16 per cent increase from 2022 and a 54 per cent increase from 2021.

Commissioner Sir Hugh Bayley, who led the report, said the aid reduction has affected Afghanistan.

“As the humanitarian situation continues to worsen in Afghanistan, and women and girls’ hard-won rights are being lost, we felt it was important to look again at how the UK is supporting the people of Afghanistan through the aid programme,” he said.

“While the UK has played an important role in the international aid response since the Taliban takeover, our information note shows that the reduction in UK aid funding has led to programmes that directly benefitted Afghan people being stopped or postponed.

“It also highlights the lack of a UK diplomatic presence in Afghanistan which might undermine the effective management of the UK’s contribution to the international aid response.”

The report raised six questions for the UK's International Development Committee to scrutinise.

It urged the body to look at how the UK and other donors can maximise the impact of humanitarian assistance while minimising the benefits which accrue to the de facto authorities and how the UK can move beyond a crisis response towards other modes of development assistance that can build durable local capacities and reduce dependence on humanitarian aid.

A girl pushes a wheelbarrow loaded with water cans in Jalalabad, Afghanistan. AFP
A girl pushes a wheelbarrow loaded with water cans in Jalalabad, Afghanistan. AFP

Developing a strategy to help protect the rights and opportunities of women and girls was also recommended.

The report raised the issue of how the UK should respond to the risk of other donors disengaging from Afghanistan as a result of growing insecurity and if it should make a case within the international community for wider engagement with the Taliban.

It revealed the Foreign Office lost half of its complement of employees following the fall of Kabul and now has a team of a little more than 80 working on supporting Afghanistan.

However, the staff are based either in the UK, Qatar or Pakistan and the commission questioned whether a physical presence in Afghanistan, when security conditions allow, would enable the UK to exercise more effective oversight of UK funding on the ground.

While the UK is still considered to be a “big player” in Afghanistan, the commission said that many stakeholders think London is not sufficiently engaged with decision makers in the country, reducing its ability to understand the operating context.

It also reported that the agencies delivering humanitarian aid in Afghanistan want the UK and other donors to play a stronger role in engaging with the Taliban to ensure a credible aid response.

The report highlighted the risk that the absence of a UK diplomatic presence in Afghanistan could undermine the oversight of aid as well as influence over the international humanitarian response.

Earlier this month, UN Secretary General Antonio Guterres confirmed the world body would stay in Afghanistan to deliver humanitarian aid but warned of a severe shortfall in financial pledges for the humanitarian appeal for the country.

THE BIO

Born: Mukalla, Yemen, 1979

Education: UAE University, Al Ain

Family: Married with two daughters: Asayel, 7, and Sara, 6

Favourite piece of music: Horse Dance by Naseer Shamma

Favourite book: Science and geology

Favourite place to travel to: Washington DC

Best advice you’ve ever been given: If you have a dream, you have to believe it, then you will see it.

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

UAE%20v%20West%20Indies
%3Cp%3EFirst%20ODI%20-%20Sunday%2C%20June%204%20%0D%3Cbr%3ESecond%20ODI%20-%20Tuesday%2C%20June%206%20%0D%3Cbr%3EThird%20ODI%20-%20Friday%2C%20June%209%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3EMatches%20at%20Sharjah%20Cricket%20Stadium.%20All%20games%20start%20at%204.30pm%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3EUAE%20squad%3C%2Fstrong%3E%0D%3Cbr%3EMuhammad%20Waseem%20(captain)%2C%20Aayan%20Khan%2C%20Adithya%20Shetty%2C%20Ali%20Naseer%2C%20Ansh%20Tandon%2C%20Aryansh%20Sharma%2C%20Asif%20Khan%2C%20Basil%20Hameed%2C%20Ethan%20D%E2%80%99Souza%2C%20Fahad%20Nawaz%2C%20Jonathan%20Figy%2C%20Junaid%20Siddique%2C%20Karthik%20Meiyappan%2C%20Lovepreet%20Singh%2C%20Matiullah%2C%20Mohammed%20Faraazuddin%2C%20Muhammad%20Jawadullah%2C%20Rameez%20Shahzad%2C%20Rohan%20Mustafa%2C%20Sanchit%20Sharma%2C%20Vriitya%20Aravind%2C%20Zahoor%20Khan%0D%3C%2Fp%3E%0A
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Friday, February 18: 10am - Oman v Nepal, Canada v Philippines; 2pm - Ireland v UAE, Germany v Bahrain

Saturday, February 19: 10am - Oman v Canada, Nepal v Philippines; 2pm - UAE v Germany, Ireland v Bahrain

Monday, February 21: 10am - Ireland v Germany, UAE v Bahrain; 2pm - Nepal v Canada, Oman v Philippines

Tuesday, February 22: 2pm – semi-finals

Thursday, February 24: 2pm – final

UAE squad: Ahmed Raza (captain), Muhammad Waseem, Chirag Suri, Vriitya Aravind, Rohan Mustafa, Kashif Daud, Zahoor Khan, Alishan Sharafu, Raja Akifullah, Karthik Meiyappan, Junaid Siddique, Basil Hameed, Zafar Farid, Mohammed Boota, Mohammed Usman, Rahul Bhatia

All matches to be streamed live on icc.tv

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The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.

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Read part one: how cars came to the UAE

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Stars: Vahid Mobasseri, Mariam Afshari, Ebrahim Azizi, Hadis Pakbaten, Majid Panahi, Mohamad Ali Elyasmehr

Rating: 4/5

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