Thursday, October 2, 2014

Paying Afghanistan’s Bills

By the end of the year, Congress will have appropriated more money for Afghanistan’s reconstruction, when adjusted for inflation, than the United States spent rebuilding 16 European nations after World War II under the Marshall Plan.
A staggering portion of that money — $104 billion — has been mismanaged and stolen. Much of what was built is crumbling or will be unsustainable. Well-connected Afghans smuggled millions of stolen aid money in suitcases that were checked onto Dubai-bound flights. The Afghan government largely turned a blind eye to widespread malfeasance. Even as revelations of fraud and abuse stacked up, the United States continued shoveling money year after year because cutting off the financial spigot was seen as a sure way to doom the war effort.
As the Pentagon winds down its combat mission there at the end of the year, it’s tempting to think of the Afghan war as a chapter that is coming to an end — at least for American taxpayers. But, as things stand, the United States and its allies will continue paying Afghanistan’s bills for the foreseeable future. That commitment was solidified Tuesday as the American ambassador in Kabul and Afghanistan’s security adviser signed a bilateral security agreement that will keep a small contingent of NATO troops there for at least two years.
The United States and NATO partners recently agreed to spend $5.1 billion a year to pay for the army and police, until at least 2017. Western donors are expected to continue to give billions more for reconstruction and other initiatives, recognizing that Afghanistan won’t be weaned off international aid anytime soon. In fact, the government appears to be broke.
A few weeks ago, Afghanistan’s Finance Ministry made an urgent plea to the United States for a $537 million bailout, warning that it would otherwise not be able to make payroll. That’s part of a broader, worrisome trend. The International Monetary Fund estimates that Afghanistan will face a financial gap of roughly $7.7 billion annually between now and 2018.
If the flow of money is to keep going, the Afghan government has to prove that it can be trusted. And, for its part, Congress should not hesitate to cut off the aid if corruption remains unabated.
Afghanistan’s new president, Ashraf Ghani, who took office on Monday, has pledged to stamp out graft. “I am not corrupt, and I am not going to encourage corruption, tolerate it or become the instrument,” the president, a former World Bank executive, told the BBC in an interview.
That will be easier said than done in a country where back-room deals are the norm. Mr. Ghani can show he is serious by appointing and empowering a new attorney general willing to take on unscrupulous officials. His proposal to lead a new procurement board is commendable because it would make him personally accountable.
Of the $104 billion that American lawmakers have appropriated for Afghan reconstruction, nearly $16 billion remains unspent, according to John Sopko, the inspector general who is overseeing the reconstruction effort. As one of the poorest nations on earth, Afghanistan clearly has plenty of needs. But the American agencies tasked with spending the money must do a better job identifying priorities, setting realistic goals and adopting stronger safeguards.
Delivering a speech at Georgetown University recently, Mr. Sopko marveled at the Marshall Plan comparison. “What have we gotten for the investment?” he asked.

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