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Chapter
Reliance on external revenue
DOI link for Reliance on external revenue
Reliance on external revenue book
Reliance on external revenue
DOI link for Reliance on external revenue
Reliance on external revenue book
ABSTRACT
Since the establishment of the Durrani Empire in 1747, Afghanistan has suffered from a weak taxation system and has frequently and significantly relied on external revenue in the form of tributes, subsidies and foreign aid to finance state-building efforts. The country lacked a viable economy, its state institutions remained weak and conflicts negatively impacted development and institution building. Given the geopolitical importance of Afghanistan, external revenue has been made available under geostrategic considerations. Sources of state revenue have thus profoundly impacted state building.