Indian companies inking new business opportunities in the conflicted country will have to face a fresh set of challenges as the Taliban seizes Afghanistan.
Despite the fact that companies like KEC International and Kalpataru Power Transmission will complete ongoing infrastructure projects in Afghanistan with locals, they face business uncertainty as a result of the changing
situation on the ground. Both companies have called in their Indian workers.
Under the Taliban regime, Indian companies are suspicious of new business prospects, although the existing projects are insured and financed by international agencies.
“We are following the emerging situation in Afghanistan. we will wait and watch, then decide. It’s quite early to comment about new contracts,” stated Vimal Kejriwal, KEC International chief executive.
Agreeing with Kejriwal, the spokesperson of Kalpataru power transmission mentioned, “The overall situation in the region is still unfolding and it would be untimely to speculate on its long term outcomes”.
After two decades of US military drawdown, the Taliban took control of Afghanistan. In its first press conference on Tuesday, the fundamentalist Islamic force stated that Afghanistan’s synergies with foreign countries will continue and assured international organizations of security.
However, Wapcos, a public sector agency that provides services in water, power, and infrastructure development, is uncertain whether it will bid on new plans in Afghanistan, according to executive director ANA prasad, who spoke to a financial today.
In the last two decades, India has been the most extensive regional contributor to Afghanistan’s development and remodeling projects, investing more than $3 billion in the Islamic nation.
During this time, some Indian companies, such as Tata Motors and Hyderabad-based BSCPL Infrastructure, entered and exited the market.
According to MD Bollineni Seenaih, the challenging situation on the ground forced BSCPL to exit Afghanistan after more than a decade in 2015. “We didn’t want to put our employees in any further danger. As a result, I decided not to participate in new projects “. He stated.