Since major repatriation operations to Afghanistan resumed in 2002, more than 4.8 million Afghans have returned to their country, mostly from Pakistan and Iran. Another half million internally displaced people have gone back home. However, approximately 3.5 million Afghans still remain in the two neighbouring countries alone. Localised conflict continues to displace some communities within Afghanistan, while poverty and lack of job opportunities oblige many Afghans to seek employment abroad.

With the successful completion of the Bonn process agreed in December 2001, Afghanistan has a democratically elected president, a parliament and a constitution. But the political transition and economic development still face challenges.

Continued insecurity, particularly in the south and east, is a major impediment to reconstruction and development. The violence is also linked to drug production and trafficking which obstruct the building of a viable and effective state. Though economic growth has been strong over the last five years, Afghanistan’s per capita income and social indicators remain among the lowest in the world.

In recognition of the long-term engagement required to sustain Afghanistan’s recovery and progress towards peace and stability, the government and the international community committed themselves to a five-year plan in January 2006. Known as the Afghanistan Compact, it outlines key objectives for improving security, governance, rule of law and human rights, as well as economic and social development. It includes provisions for supporting the reintegration of Afghans returning voluntarily from abroad and for addressing the broader challenges of population movements.

After the huge return movements of 2002-2004, the pace of repatriation has dropped in the last two years. (Nevertheless, Afghanistan has been UNHCR’s largest repatriation operation worldwide for five consecutive years). This was anticipated. Many of the remaining Afghans have been living outside their country for more than 20 years. More than 50 percent were born overseas. They have become used to different living conditions. Moreover, many originate from areas currently affected by insurgency and deep structural poverty.

Nevertheless, voluntary repatriation will continue to be the preferred durable solution. This year UNHCR has adjusted its support for initial travel and reintegration assistance to bring it more into line with recent cost increases. It will continue to support a shelter programme – with an additional 10,000 units in 2007 – that has built new homes for more than a million returnees since 2002. Cooperation with the Afghan authorities to allocate land for poor and homeless returnees and local people will be intensified. Moreover, UNHCR will continue to work closely with the Afghan government and its international partners to identify new opportunities