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International Journal of Economics & Management Sciences

ISSN: 2162-6359

Open Access

Accession to the TWO and its Effects on Afghan SEMs

Abstract

Ahmad Sharaf Shams* and Sayed Abdul Hakim Hikmat

Introduction: The establishment of the World Trade Organization (WTO) in 1994 emerged in Morocco through an agreement involving 124 countries. Its primary objective is to oversee and promote global trade liberalization, facilitate trade relationships, and eliminate trade barriers between nations. Afghanistan, subsequently approved for membership by its parliament, became the 164th member of the WTO. Among the chief advantages of WTO membership for Afghan Small and Medium Enterprises (SMEs) are improved market access and reduced trade impediments. As a WTO member, Afghanistan gains access to the favorable trade conditions outlined in WTO agreements and regulations. Objectives: This study seeks to analyze Afghanistan's WTO membership and the integration of WTO rules into the nation's trade framework. Additionally, it explores the potential benefits of WTO affiliation for Afghan SMEs, encompassing enhanced market access, streamlined trade procedures, and expanded investment opportunities. Research methodology: Employing a descriptive approach, this study delves into the implications of WTO accession for Afghan SMEs. The research focuses on the province of Kabul as its target population. A total of 384 questionnaires were distributed among government employees, economic experts, and entrepreneurs for data collection. Cronbach's alpha test was employed to ensure data validity and reliability. Results: The study's findings indicate that Afghanistan's emerging industries possess the capacity to compete with foreign imports. The country's WTO accession is anticipated to yield positive outcomes for entrepreneurs. Conclusion: Afghanistan's entry into the WTO has ushered in a blend of favorable and unfavorable consequences for its SMEs

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Citations: 11041

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