Afghanistan Has Become a Failed State Under Taliban Rule: Indian Think Tank

Afghanistan Has Become a Failed State Under Taliban Rule: Indian Think Tank

Jul 23, 2026|Webdesk

New Delhi / Islamabad: Afghanistan has descended into an acute humanitarian crisis and severe economic deterioration since the Taliban seized power, effectively turning the country into a failed state. In its latest report, the prominent Indian think tank Observer Research Foundation (ORF) expressed serious concern over Afghanistan’s current condition and its security implications for the wider region.

According to the report, the Taliban administration’s incompetence has left ordinary Afghans facing extreme hardship, while Afghanistan’s diplomatic and financial isolation continues to deepen internationally.

International Measures and Diplomatic Isolation

The think tank reviewed restrictions imposed on the Taliban administration by the international community:

US Classification: In March 2026, US Secretary of State Marco Rubio reportedly designated Afghanistan as a country supporting unlawful detentions.

Strict Australian Sanctions: In December 2025, Australia imposed stringent travel and financial sanctions on three Taliban ministers and the Chief Justice of Afghanistan’s Supreme Court.

Human Rights Abuses and Terrorist Safe Havens

According to the report, democratic processes, transparency and fundamental human rights have effectively disappeared in Afghanistan, while terrorist organisational networks continue to grow stronger.

Key Findings of the Report

Abuses Against Women and Minorities: The Taliban administration has imposed a complete ban on women’s education, while minorities and supporters of the former government continue to face persecution.

Opaque Financial System: The annual budget and public expenditure system remain entirely non-transparent, while funds intended for public welfare are allegedly being diverted towards the purchase of weapons.

Threats to Regional Security: The presence of Al-Qaeda, Fitna al-Khawarij, also known as the TTP, and other proscribed organisations in Afghanistan poses a major threat to peace and stability across the region.

“The Taliban’s provision of shelter to terrorist groups, along with severe restrictions on human rights—particularly those of women, minorities and the media—is an extremely serious and alarming issue.”
— Annie Pforzheimer, former US diplomat and Afghanistan affairs expert