In 2008, Harakat was founded with funding of 30£ million from DFID to deliver the Afghanistan Investment Climate Facility (AICF) program. The goal of Harakat-AICF was to remove and reduce regulatory and institutional barriers to doing business in Afghanistan.
From 2009 to 2016, Harakat supported government and private sector partners, covering eight priority outcome areas. During this period, Harakat laid the foundation for private sector reform in Afghanistan, successfully implementing 36 projects to address specific business barriers.
In June 2016, the UK approved a new grant of 25£ million for a period of seven years (July 2016 – June 2023) for Harakat to deliver the Afghanistan Investment Climate Program (AICP). The AICP is a successor to the AICF and is designed with overarching objectives aligned with investment and economic growth needs in Afghanistan.
The AICP was co-funded by Sweden with an initial commitment of 13.4£ million through a Delegated Cooperation Arrangement (DCA) with the UK. The new grant from the UK and Sweden aimed to focus on four program pillars to improve private sector investment and economic growth in Afghanistan.
Harakat has a history of creating an enabling environment for private sector development through supporting various projects that serve as strong foundations for new donors and other partners to maximize their investments. Harakat has provided opportunities for major development partners, such as the World Bank Group and USAID, to facilitate trade and transition between Afghanistan and Pakistan. Harakat’s completed projects also enabled the Government of Afghanistan to attract private sector investment.