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The sex trade, a form of contemporary slavery, in which victims are forced, defrauded or coerced into sexual exploitation, is one of the most devastating practices in Afghanistan, responsible for much of the nation’s economic instability. With a prosperous poppy market, a strong debt cycle perpetuated by drug lords contributes to the flourishing sex trade. The debt cycle arises from a lack of banking system and few profitable alternative crops to poppy. This debt, in turn, contributes to the problem of human trafficking within the country because children are often sold as a means of relieving debt. An alternate means of relief must be offered so that families are not forced to use the sex trade as a means of debt repayment.
This report sets forth a three-part policy to alleviate the debt cycle and slow the proliferation of the sex trade. The proposed microfinance initiative, based in the province of Kandahar, a province whose income relies heavily on the opium trade, recognizes farmers’ need for financial services. Two methods are proposed to breaking the debt cycle: 1) forming self-help groups; and 2) giving them access to micro-credit. Loans will help the farmers grow alternative crops to poppy, thus avoiding large-scale poppy eradication and the loss of revenue. To ensure that this transition is sustainable, the third component of our initiative emphasizes the need to also provide loans for agro-processing industries that will increase the farmers’ yield and develop local markets.
Related Materials:
Full Policy Paper on Microfinance Agricultural Initiative to Reduce Sex Trafficking in Afghanistan: January 2007 Group members:
Lillian Chen
Sophie Cooper
Faizan Diwan
Max D Engelstein
Evan W Gogel
Margaret Goodlander
Rebecca S Levenson
Emily A Morell
Jillian Roland
Rachel Sam
Haun Saussy
Stephanie Soderborg
Jurist Tan
Mimi Wang
Hilary J frankel
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