sector

In April, I accompanied a friend on a visit to villages in Daikundi province, central Afghanistan. The purpose of the trip was to speak to farmer beneficiaries of a project that an NGO operating in the agriculture sector had carried out and to follow up on its impact. The week I spent travelling with him was quite eye-opening regarding the state of the non-profit sector in the country.

The project in question provided zero-energy storage houses to preserve harvests, such as fruit and vegetables, in rural areas. On the surface, the idea was promising: provide farmers with storage space so they could sell their produce over a few months.

However, the farmers we spoke to in several villages showed us heaps of apples decaying beneath the trees. They complained that the storage houses had space for the apples of only two to three families in the entire village.

In another village, we saw frustration with another project from a different NGO. That organisation had bought imported seeds for various vegetables and distributed them among farmers. Staff members provided training, conducted weeks of workshops on cultivation methods and techniques, and regularly monitored the crops.

The local participants invested significant time, energy, land, and water in the project. But the harvest they got from these imported seeds was very little and of poor quality. Despite the enormous amount of money spent by the NGO on surveying, training, logistics, transportation, and staff salaries, the vegetables for each family amounted to about 450 Afghans (roughly $7). There was no accountability for the farmers’ losses.

Such stories are common across rural communities in Afghanistan. While aid organisations publish reports of their achievements, many beneficiaries gain little from poorly designed projects that fail to address the real challenges they face. The cost of these projects is extremely high, but the output is often too little.

Since the Taliban took over Kabul and the US-led coalition withdrew from the country, humanitarian aid and funding in Afghanistan have dramatically collapsed. The struggle to secure funds, however, has not led to better efficiency, accountability, and transparency among the NGOs still operating in Afghanistan.

This is not a recent phenomenon. Between 2001 and 2021, Afghanistan became the poster child for corruption, embezzlement, and waste of foreign aid. One US journalist described it as “the $148 bn failure”.

According to the Special Inspector General for Afghanistan Reconstruction (SIGAR), set up by the United States to investigate fraud with US funds, between $26bn and $29bn was lost due to embezzlement or wasteful spending. This was just funding provided by the US government; there is no estimate for how much was wasted from other donors.

While much of the foreign funds went to the security sector, a significant amount went to the non-profit sphere, where waste was also widespread. Millions, if not billions, worth of projects became a missed opportunity to improve the lives of Afghans, especially in rural areas. This is a legacy that persists to this day.

This situation is not unique to Afghanistan. The development sector across the world is known for waste and inefficiency. In the Afghan context, that is exacerbated by the lack of control and difficulty of ground work.

Many foreign NGOs do not directly implement their projects; instead, they work through implementing partners (IPs), which themselves outsource implementation to subcontractors. This extended chain of actors means that often there is a lack of proper quality control and supervision, and there is motivation to carry out lower-quality work in order to increase profit.

Furthermore, the primary concern of IPs is securing funding. So they often present project proposals that look great on paper but do not necessarily have a substantial impact on the circumstances of the local population or address their most urgent needs.

Finally, there is a lot of waste in remuneration, especially when it comes to international staff. Foreign employees often have salaries as high as $10,000–20,000 for doing work that a local hire can do for much less.

It is clear that amid global cuts to donor funding, the development sector is struggling. This should be a moment of change. In Afghanistan, where the need of the local population is enormous while available financing is shrinking, NGOs can take this change into their own hands.

The simplest first step NGOs can take is to employ qualified locals to plan and lead projects. They would know the local culture, realities, and actual needs of communities, as well as market prices and field conditions. They can help not only optimise project costs but also ensure that they actually have a real, measurable impact.

In addition, NGOs should avoid having an extended chain of IPs and subcontractors. They should also regularly collect feedback from local communities and field workers directly in order to evaluate project effectiveness during implementation in order to avoid repeating the same mistakes.

Projects are more likely to produce sustainable results if NGOs invest in addressing pressing nationwide challenges, such as unemployment, infrastructure, and market access.

Improving efficiency and effectiveness would not only ensure Afghan beneficiaries get better services and help, but it would also make organisations more competitive for the dwindling pool of funding. This is the only way to salvage the NGO sector not only in Afghanistan but in the rest of the world.

The views expressed in this article are the author’s own and do not necessarily reflect Al Jazeera’s editorial stance.

Nvidia Corp. Chief Executive Officer (CEO) Jensen Huang said Friday that he views robotics as the next major growth sector in South Korea, adding that the domestic market is well-positioned for growth.

Huang, a central figure in the global artificial intelligence (AI) boom, made the remarks after arriving at Gimpo International Airport in western Seoul aboard his private jet for a four-day visit.

“(South) Korea has many sectors to invest in. Robotics is going to be the next major sector,” Huang told reporters, adding that the Korean “market is doing very well.”

Asked whether he had brought any gifts for South Korea, Huang responded with a smile.

“Did I bring any gifts for Korea? I brought a lot of business for Korea,” he said. “I have some surprises.”

The trip comes less than a year after Huang’s previous trip to South Korea in October, which coincided with the Asia-Pacific Economic Cooperation (APEC) CEO Summit in the southeastern city of Gyeongju.

During that visit, Huang drew widespread attention when he joined Samsung Electronics Chairman Lee Jae-yong and Hyundai Motor Group Executive Chair Euisun Chung for a late-night meal of Korean fried chicken and beer, commonly known as “chimaek.”

One of the most anticipated events during Huang’s visit is an informal dinner with SK Group Chairman Chey Tae-won, LG Group Chairman Koo Kwang-mo and Naver Chairman Lee Hae-jin. Hyundai Motor Group’s chief who had earlier been expected to join the group has since confirmed he will be unable to attend.

Together, the companies represented at the gathering span nearly every layer of the AI value chain, including semiconductors, data centers, AI models, software and robotics.

Huang is also set to hold talks with executives from the gaming industry, AI and robotics startups, university researchers and students, according to industry sources.

“Because Korea is a manufacturing center of the world, we can apply the robotics technology, the physical AI technology that we invent here for the industry,” he said.

He further said Nvidia will partner with domestic manufacturing firms in robotics and AI.

“The manufacturing of semiconductors will become increasingly robotics and increasingly AI driven in the future, and so we have a great opportunity to partner with the semiconductor companies here as well,” he added.

Later in the day, Huang visited an internet cafe in Seoul and met with esports players, including gaming superstar Faker.

“This is the birthplace of esports,” Huang said, emphasizing that Korean gamers have long been among the world’s most competitive players who are using Nvidia’s graphics processing units (GPUs).

Nvidia’s GeForce graphics cards are designed to deliver the high frame rates demanded by professional gamers.

Huang is also expected to meet Krafton Executive Director Chang Byung-gyu and other senior executives from the gaming company, though the exact schedule has yet to be confirmed.

The two companies are expected to discuss potential cooperation involving Nvidia’s RTX Spark platform for premium Windows laptops, as well as physical AI technologies.

Earlier this year, Krafton established a robotics subsidiary called Ludo Robotics.

During his stay, Huang is also expected to meet Science Minister Bae Kyung-hoon to discuss cooperation in AI, including the supply of GPUs.

Details regarding the timing, venue and agenda of the meeting are still being finalized.

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Caracas, June 4, 2026 (venezuelanalysis.com) – The Venezuelan National Assembly preliminarily approved on Tuesday a reform to the country’s Organic Law of the National Electricity System and Service, proposing a structural overhaul of the National Electricity System (SEN).

One of the most significant changes is the incorporation of the private sector in electricity generation, transmission, distribution, and commercialization activities, breaking with two decades of state monopoly through the National Electric Corporation (Corpoelec).

According to the draft text seen by Venezuelanalysis, private corporations and joint ventures will be able to operate in the electric grid in what is termed a “diversification of actors in the service chain.” The mixed ventures, where the state can hold majority or minority stakes, will be approved directly by the government and not by the National Assembly.

“In recent decades, the electric system has showcased structural and financial limitations […] as a result of the productive reality and the negative impact of unilateral coercive measures,” the proposed law reads. “Faced with this reality, the Venezuelan state must assume an institutional and judicial reengineering.”

The bill establishes concessions with a maximum duration of 25 years, renewable for a further 15 years under specific conditions. Once a concession expires, all infrastructure, assets, substations, and data will automatically revert to the state in good condition and without compensation.

The proposed legislation announces the creation of a new tariff scheme “based on real costs and a reasonable return for investors.” Electricity, like most public services, has been heavily subsidized in recent decades in the Caribbean nation. The bill additionally introduces obligations for electricity distributors to compensate users for damages caused by blackouts or other failures.

The reform likewise establishes the possibility for the executive branch to grant tax exemptions to projects linked to renewable energy, rural electrification, or strategic investments in the electricity sector.

The 42-article legislation will now be subject to discussions and amendments before a second and decisive vote. 

If approved, it would repeal the Organic Law for the Reorganization of the Electricity Sector, enacted by former President Hugo Chávez on July 31, 2007, which merged the country’s seven existing electricity companies through the creation of the National Electric Corporation. The legislation also defined all stages of electricity generation and distribution as “strategic for the nation.”

During Tuesday’s parliamentary session, United Socialist Party (PSUV) lawmaker Orlando Miranda argued that the electricity reform represented a “mixed and private capital strategy under a rigorous regime of concessions and public supervision.” 

He noted that government plans to reinforce the grid with thermoelectric plants in the past 15 years were hampered by US economic sanctions. Miranda went on to add that increased tariffs are being studied to reflect the “real costs” of the system.

For his part, opposition legislator Ezio Angelini (Un Nuevo Tiempo) demanded that the reform address corruption, which he identified as a key factor behind Venezuela’s recurring power outages.

Angelini stated that in 2019 Venezuela generated around 20,000 megawatts (MW) while consuming approximately 12,000. Today, he claimed, the country produces close to 12,000 MW, roughly 40 percent of installed capacity, while demand has risen to 14,000. On May 11, Interior Minister Diosdado Cabello stated that electricity demand had surpassed 15,500 MW due to increased oil production.

Zulia state, considered the cradle of Venezuela’s oil industry, and other western regions have experienced daily blackouts lasting between eight and twelve hours in recent weeks. Supply instability also affects other services such as water pumping and cooking gas distribution.

Frequent power outages have also gripped oil fields in the Orinoco Belt, as crude extraction relies on electric motors that are vulnerable to tension fluctuations. According to Bloomberg, the Venezuelan government is urging international energy companies to generate their own electricity for oil and natural gas projects in an effort to shield the grid from the additional load.

Delegations from Siemens and General Electric visited the country in April and held talks with the Venezuelan government headed by Acting President Delcy Rodríguez. However, the two corporate giants are reportedly “hesitant” to take part in major projects due to doubts over Caracas’ financial capabilities.

Additionally, in mid-May, US Chargé d’Affaires in Venezuela John Barrett held a meeting with Electricity Minister Rolando Alcalá to discuss plans to “restore a reliable energy supply through US investment and collaboration.”

Electricity generation in Venezuela depends heavily on the 10 MW-capacity Guri hydroelectric complex in Bolívar state, making the system particularly vulnerable to climatic factors such as the high temperatures affecting the country. Venezuela suffered nationwide blackouts in 2019, with authorities blaming US-led cyberattacks.

The electricity reform follows legislative overhauls to the hydrocarbon and mining sectors that likewise curtailed the state’s role and responsibilities while granting private corporations expanded control over operations and sales, slashed royalties and taxes, and the ability to bring disputes to international arbitration bodies.

Edited by Ricardo Vaz in Caracas.

HAVANA — Spanish hotel chain Meliá has joined a growing list of companies with a long-standing presence in Cuba that are withdrawing or limiting their operations on the island after the U.S. announced new sanctions while upholding an oil embargo.

Meliá will cease operations at 15 of the 34 hotels it manages on the island, according to state website Cubadebate, dealing a blow to Cuba’s vital tourism sector, which has plummeted since its 2018 peak.

The report on Wednesday stated that Meliá’s decision was based on “a sense of corporate responsibility and external factors that have significantly affected the operation, legality and security of these establishments.”

The decision was announced May 26, just weeks after President Trump signed an executive order expanding sanctions against the island. Most of the sanctions targeted Grupo de Administración Empresarial S.A., a business conglomerate operated by the Cuban Revolutionary Armed Forces, with the U.S. asserting it was a threat to its national security.

The executive order freezes the assets of foreign companies, seizes their accounts in the United States and prohibits travel by their shareholders, investors and employees— virtually eliminating their activity in the U.S. financial system.

GAESA, a Cuban conglomerate created in the 1990s, owns a wide range of businesses, from car rentals and retail stores to transportation companies. It is Meliá’s partner in hotel management through one of its subsidiaries, Gaviota.

Meliá deals new blow to Cuba’s crumbling tourism sector

Meliá is one of Cuba’s most important partners in its vital tourism sector. Until its partial withdrawal, it operated some 14,000 rooms.

Spanish and Canadian firms are the biggest investors in Cuba’s hotel sector, noted Lee Schlenker, a research associate at the Quincy Institute’s Global South program, a Washington think tank.

“With the lack of international tourism, the fuel shortages, and just the broader decline since COVID…I’m sure that these companies will be rethinking their operations in Cuba with major implications for the people of Cuba, not just GAESA,” he said. “There are thousands of Cubans who work in these hotels.”

Several of the hotels that Meliá abandoned in idyllic destinations like the resorts of Varadero, Cayo Santa María and Jardines del Rey “were already closed and inactive due to energy problems and the drop in demand in Cuba,” according to Cubadebate.

Cuba’s government has blamed the U.S. energy blockade for prolonged blackouts, water shortages, supply problems, deficiencies in the healthcare system and disruptions in all aspects of daily life.

Those who work in Cuba’s crumbling tourism sector lamented Meliá’s announcement.

“It’s going to affect us, our families, and everyone involved in tourism. Our pay and income depend on this,” said Erich López, a driver of a green 1950s Dodge who has been driving for two decades to support his family.

For Carlos Luis Carbonel, a 62-year-old parking attendant who works in front of the giant Meliá Cohiba hotel in Havana, the situation “is going to be a blow.”

“This is terrible for everyone: for tour guides, for parking attendants, for hotel workers, for everyone,” he said.

Other major hotel chains including Canadian-owned Royalton and Spain’s Iberostar have limited or suspended operations in Cuba in the past week.

Tourism in Cuba, which reached a peak of 4.3 million visitors in 2019, saw a significant drop in the number of tourists arriving in the first quarter of this year, 48% lower than in the same period in 2025.

Only 298,000 tourists arrived in Cuba in January, February and March, compared to 573,300 international visitors during the same period last year, according to government data.

Cuba struggles to breathe

On Wednesday, the enormous and iconic sign of the Royalton Paseo del Prado hotel at the entrance of Old Havana was removed, as confirmed by The Associated Press during a visit. Meanwhile, the 500-room Iberostar Selection — also known as Tower K — the most modern and luxurious of the hotels slated to open in 2025, standing over 490 feet tall, has remained closed for days.

Airlines including World2Fly, Air France and Iberia have canceled flights to and from Cuba.

Also on Wednesday, Cuba’s Central Bank announced that Visa and MasterCard operations on the island would be suspended following the termination of relationships between foreign entities and FINCIMEX S.A., a Cuba-based agency affiliated with GAESA.

Last month, Canadian miner Sherritt International Corp. signed a non-binding agreement with Gillon Capital LLC, a family office linked to a former Trump adviser, to sell its stake in a mining business in Cuba.

In late January, Trump threatened tariffs on any country that sells or supplies oil to Cuba, as his administration pressures for a change in its political system and government. The move has deepened a crisis caused by seven decades of U.S. sanctions.

While U.S. and Cuban officials held talks earlier this year, tensions have risen. In late May, former President Raúl Castro was charged in a U.S. indictment for his alleged role in the downing of two civilian aircraft operated by Miami-based exiles in 1996 in Cuban waters.

Rodríguez writes for the Associated Press.