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The Taliban have done a better job than expected in managing the Afghan economy despite some missteps. But nevertheless, the Afghan economy seems caught in a low-level equilibrium that leaves most Afghans poor, hungry and in need of humanitarian assistance. Moreover, new headwinds threaten to precipitate further economic decline, risking a repeat of the economic free-fall seen in the initial months following the August 2021 Taliban takeover. Much will depend on whether aid declines sharply or gradually, how seriously the opium ban is enforced for a second year during this fall’s planting season, and whether Taliban gender restrictions are tightened, maintained or weakened.

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