UK Businesses Fear for Afghan Rug Weavers After Taliban Takeover

Afghan rugs are a major commodity and the country's second largest non-agricultural export, according to the World Trade Organization. (AFP)
Afghan rugs are a major commodity and the country's second largest non-agricultural export, according to the World Trade Organization. (AFP)
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UK Businesses Fear for Afghan Rug Weavers After Taliban Takeover

Afghan rugs are a major commodity and the country's second largest non-agricultural export, according to the World Trade Organization. (AFP)
Afghan rugs are a major commodity and the country's second largest non-agricultural export, according to the World Trade Organization. (AFP)

Overseas businesses selling colorful handwoven rugs and vivid handblown glass from Afghanistan are concerned for their suppliers as the Taliban's takeover of the country threatens those with links to the West.

British businessman James Wilthew has built up close ties with Afghan rug weavers and sellers, buying the sought-after carpets directly from the northern provinces, where the industry is traditionally based.

The ex-serviceman sells the carpets at his shop in Hebden Bridge in Yorkshire in northern England and estimates that his company, The Afghan Rug Shop, supports about 200 families.

A share of the proceeds goes to Afghanaid, a British charity supporting people in Afghanistan.

He said he was frustrated by the British government's response, despite an emotive emergency debate on the crisis in parliament and urgent calls for help.

"Nothing happens, there's been no action," he said, warning: "Government bureaucracy will result in the death of thousands of people."

The former RAF officer worked in Afghanistan in 2004 on the UK Provincial Reconstruction Team, set up to help development projects.

Asked if hardliners could target those who worked with him due to his UK military background, he said: "Yes, of course".

The Taliban could say, "You've been working for Mr. James", he said. "It's just the association."

"I'm not necessarily sure how far the Taliban will go with these things: we just don't know what the spectrum of danger is."

Major export commodity
Afghan rugs are a major commodity and the country's second largest non-agricultural export, according to the World Trade Organization.

Textiles are by far the most significant Afghan import to the UK, worth some £2.4 million ($3.3 million) per year, government figures show.

The ancient carpet trade existed under the previous Taliban regime, which ruled Afghanistan with an iron fist from 1996 until they were ousted in the US-led invasion in 2001.

The uncertainty and chaos since the return of the hardline extremists was "a temporary issue", said Wilthew.

"Under the Taliban regime, that trade (in textiles) will continue, they need the tax from that business, the employment," he added.

"It's their export commodity, it's how they make an income."

Most Afghan carpets are exported via neighboring Pakistan, but Wilthew is unusual in dealing directly with artisans and traders inside the country.

That could force him to change his business model, possibly using a middleman in Pakistan, and switching from US dollars if the greenback is banned in Afghanistan.

He is also unlikely to be able to continue using international shipping and delivery companies DHL and FedEx for delivery, he added.

"Acquiring rugs from Afghanistan is not a concern for me. It's not an issue, the issue is my friends," he said.

'Impossible' logistics
Another high-end company that sells goods made by Afghan artisans is London-based Ishkar, which sells contemporary-design carpets, as well handblown tumblers, jewelry and clothes.

The brand's creative director, Electra Simon, said the company was in daily contact with people in Afghanistan, and "pretty much everybody is trying to leave".

"They just basically want to get out, they can't leave their houses right now," she said, adding they felt "sheer desperation" at the situation.

"It's really hard: the relationships we've built up with people, seeing them in these massively tricky situations," she said.

Ishkar's online shop is selling photographic prints of Afghanistan to raise funds for Emergency, which provides medical treatment to conflict victims.

The company, which works with some 30 people in the country, has removed references to Afghan partners from its website to protect them.

"We want to do everything possible to continue working with people in Afghanistan, if it doesn't put them at risk," she said

"Some of them will be (at risk), others probably not as much because they are just traditional artisans working, so hopefully we can continue working with them."

Some artisans in areas captured by the Taliban have been able to keep working, she said, although the logistics of exporting to Britain were at the moment "completely impossible".

Both she and Wilthew said the situation was still too fluid to predict, and a clearer picture will emerge in the coming weeks.

"It will definitely be different for us, that's 100 percent," said Simon.



Saudi Arabia Allows Contracting Exceptions for Firms without Regional HQ

The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
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Saudi Arabia Allows Contracting Exceptions for Firms without Regional HQ

The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Saudi Arabia has introduced greater flexibility into its investment environment, allowing government entities, under strict controls to safeguard spending efficiency and ensure the delivery of critical projects, to seek exceptions to contract with international companies that do not have regional headquarters in the kingdom.

The Local Content and Government Procurement Authority notified all government bodies of the mechanism to apply for exemptions through the Etimad digital platform.

The step is designed to balance enforcement of the “regional headquarters relocation” decision, in force since early 2024, with the needs of technically specialized projects or those driven by intense price competition.

Under a government decision that took effect at the start of 2024, state entities, including authorities, institutions and government-affiliated funds, are barred from contracting with any foreign commercial company whose regional headquarters in the region is located outside Saudi Arabia.

According to the information, the Local Content and Government Procurement Authority informed all entities of the rules governing contracts with companies that lack a regional headquarters in the kingdom and related parties.

Government entities may request an exemption from the committee for specific projects, multiple projects or a defined time period, provided the application is submitted before launching a tender or initiating direct contracting procedures.

Submission mechanism

In two circulars, the authority detailed how to submit exemption requests and clarified the cases in which contracting is permitted under the controls. It said the exemption service was launched on the Etimad platform in November 2025.

The service is available to entities that float tenders through Etimad. Requests for tenders launched before the service went live, as well as those issued outside the platform, will continue to follow the previously adopted process.

Etimad is the kingdom’s official financial services portal run by the Ministry of Finance, aimed at driving digital transformation of government procedures and boosting transparency and efficiency in managing budgets, contracts, payments, tenders and procurement. The platform streamlines transactions between state entities and the private sector.

Technical criteria

When issuing the contracting controls, the government made clear that companies without a regional headquarters in Saudi Arabia, or related parties, are not barred from bidding for public tenders.

However, their offers can only be accepted in two cases: if there is no more than one technically compliant bid, or if the offer ranks among the best technically and is at least 25% lower in price than the second-best bid after overall evaluation.

Contracts with an estimated value of no more than 1 million riyals ($266,000) are also exempt. The minister may, in the public interest, amend the threshold, cancel the exemption or suspend it temporarily.

More than 700 headquarters

More than 700 multinational companies had relocated their regional headquarters to Riyadh by early 2026, exceeding the initial target of attracting 500 companies by 2030. The program seeks to cement the kingdom’s position as a regional business hub and to localize global expertise.

When announcing the contracting ban, Saudi Arabia said the move was intended to incentivize foreign firms dealing with the government and its affiliated entities to adjust their operations.

It aims to create jobs, curb economic leakage, raise spending efficiency and ensure that key goods and services procured by government entities are delivered inside the kingdom with appropriate local content.

The government said the policy aligns with the objectives of the Riyadh 2030 strategy unveiled during the recent Future Investment Initiative forum, where 24 multinational companies announced plans to move their regional headquarters to the Saudi capital.

It stressed that the decision does not affect any investor’s ability to enter the Saudi economy or continue working with the private sector.

 


IMF Board to Review Staff-level $8.1 Bln Agreement for Ukraine

The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
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IMF Board to Review Staff-level $8.1 Bln Agreement for Ukraine

The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko

The International Monetary Fund on Thursday said its board ​would review a staff-level agreement for a new $8.1 billion lending program for Ukraine in coming days.

IMF spokeswoman Jule Kozack told reporters that Ukrainian authorities had completed the prior actions needed to move forward with the request ⁠of a new ⁠IMF program, including submission of a draft law on the labor code and adoption of a budget.

She said Ukraine's economic growth in 2025 ⁠was likely under 2%. After four years of war, the country's economy had settled into a slower growth path with larger fiscal and current account balances, she said, noting that the IMF continues to monitor the situation closely.

"Russia's invasion continues to take a ⁠heavy ⁠toll on Ukraine's people and its economy," Kozack said. Intensified aerial attacks by Russia had damaged critical energy and logistics infrastructure, causing disruptions to economic activity, Reuters quoted her as saying.

As of January, she said, 5 million Ukrainian refugees remained in Europe and 3.7 million Ukrainians were displaced inside the country.


US Stocks Fall as Iran Angst Lifts Oil Prices

A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
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US Stocks Fall as Iran Angst Lifts Oil Prices

A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid

Wall Street stocks retreated early Thursday as worries over US-Iran tensions lifted oil prices while markets digested mixed results from Walmart.

US oil futures rose to a six-month high as Iran's atomic energy chief Mohammad Eslami said no country can deprive the Islamic republic of its right to nuclear enrichment, after US President Donald Trump again hinted at military action following talks in Geneva.

"We'd call this an undercurrent of concern that is bubbling up in oil prices," Briefing.com analyst Patrick O'Hare said of the "geopolitical angst."

About 10 minutes into trading, the Dow Jones Industrial Average was down 0.6 percent at 49,379.46, AFP reported.

The broad-based S&P 500 fell 0.5 percent to 6,849.35, while the tech-rich Nasdaq Composite Index declined 0.6 percent to 22,621.38.

Among individual companies, Walmart rose 1.7 percent after reporting solid results but offering forecasts that missed analyst expectations.

Shares of the retail giant initially fell, but pushed higher after Walmart executives talked up artificial intelligence investments on a conference call with analysts.

The US trade deficit in goods expanded to a new record in 2025, government data showed, despite sweeping tariffs that Trump imposed during his first year back in the White House.