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Access to Finance (A2F) Flagship Initiative – Afghanistan “A Journey Toward Prosperity Through Financial Access”
Overview
The Access to Finance (A2F) Flagship Initiative, led by UNDP Afghanistan, is positioned as a transformative, systems-level intervention aimed at revitalizing Afghanistan’s private sector and expand inclusive financial access, amidst a challenging operating environment. The initiative is supported by a $6.1 million investment in 2026 that leverages multiple UNDP funding sources to address the acute financing gap that many MSMEs (women, returnees and vulnerable groups) in Afghanistan face. A2F is designed to complement and build upon the Area-Based Approach to Development Emergency Initiatives (ABADEI) by strengthening financial infrastructure, market systems, and digital inclusion mechanisms essential for economic recovery and resilience.
The project deploys a holistic suite of activities, including the establishment of the Afghanistan Center of Excellence for Islamic Finance, deployment of gender-responsive credit guarantees and women’s enterprise funds, digital financial inclusion via mobile and e-wallet solutions, and regulatory and policy support to create an enabling environment. A2F interventions are carefully structured to ensure compliance with international engagement principles, notably the Doha agreement, by channeling resources exclusively through vetted NGOs, private sector partners, and delivering through collaborative efforts with other UN agencies (UNCDF, ICPSD, UNCTAD, UN Women and ITC)
Objectives
The A2F Flagship is designed to support Afghanistan’s achievement of the Sustainable Development Goals (SDGs)—specifically SDG 1 (No Poverty), SDG 5 (Gender Equality), SDG 8 (Decent Work & Economic Growth), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 17 (Partnerships)—by expanding access to finance and market opportunities for MSMEs, bringing together diverse actors to share knowledge, expertise, and resources. The project’s objectives are:
Strengthen Islamic financial infrastructure and expand Shariah-compliant products through the Afghanistan Center of Excellence for Islamic Finance (ACEIF).
Scale up inclusive financial services, including credit guarantees, a Women’s Enterprise Fund, and gender-responsive lending, while improving impact tracking.
Enhance MSME competitiveness through digital financial inclusion, market intelligence, and improved access to domestic and international markets.
Improve the enabling environment for inclusive finance by supporting regulatory reforms, de-risking solutions, and fostering partnerships with NGOs and financial institutions.
Collectively, these objectives are intended to stimulate livelihoods, strengthen community resilience, and facilitate Afghanistan’s economic stabilization, all while operating within strict compliance and risk management frameworks.
Major Achievements
Financed 11,053 MSMEs, including 3,546 women-owned enterprises, and supporting 14,212 jobs for men and 4,701 for women through the Credit Guarantee Scheme, mobilizing about $ 30 million in private-sector lending,
Digitize Murabaha vendor payments, with more than 31 vendors onboarded and over 412 payments executed through digital wallets with 20.4 Million AF in transaction value to Murabaha-Vendors; and piloting a shared-agent model to expand agent networks across provinces.
Connected about 140 women-owned small businesses to new e-commerce platforms and trained them in online marketing, enabling these women to continue selling products nationally and abroad despite local movement restrictions
6 Shariah Compliant products implementation toolkits developed (Istisna, Salam, Qard al-Hasan, Ijarah, Wakalah and Trade Finance Products) with training to more than 200 staff, including 100 from Banks and MFIs, to support Institutionalizing Islamic Finance capability for the Financial Sector
Trade facilitation training provided for 432 MSMEs (240 women, 192 men) with value addition training for 360 MSMEs in 4 different provinces (Herat, Balkh, Kabul and Kandahar)
The A2F Flagship Initiative offers a high-impact, locally grounded, and scalable model for financial inclusion and MSME support in Afghanistan’s current crisis context. By focusing on systems-level solutions, gender-responsive and Shariah-compliant finance, and robust partnerships. It aims to empower Afghan entrepreneurs, especially women and youth, to access opportunity, resilience, and prosperity, while laying the groundwork for long-term private sector development in alignment with the Afghanistan National Development Strategy 2025-2030.
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