Corruption Impacts Afghan Customs Revenue
Today, the Special Inspector General for Afghanistan Reconstruction (SIGAR) released an audit of the $198-million effort to develop Afghan customs revenue capacity. The report found U.S. programs have had some success, but challenges will limit customs revenue as a sustainable source of income for Afghanistan. Among the findings:
--Corruption impacts all levels of the customs process & is the biggest problem affecting Afghan customs revenue.
--USAID & Afghan officials believe customs revenue could double if corruption were significantly reduced.
--Border Management Task Force (BMTF) noted that at one customs location alone, an estimated $25 million in wheat & rice imports is lost to criminal networks annually.
--BMTF also reports that Afghans who properly collect customs duties are subject to kidnapping & intimidation.
--Current cash-based customs payment system inefficient, leaves customs brokers vulnerable to theft & increases opportunities for corruption.
--Electronic payment system delayed, due in part to a proposal by an Afghan official to allow only one Afghan bank to process all electronic payments.
Audit: http://www.sigar.mil/pdf/audits/SIGAR-14-47-AR.pdf
Photos: https://www.flickr.com/photos/sigarhq/sets/72157643999148413/