The grants will support a range of projects aimed at creating better access to jobs, improving economic activity and providing better public services, the bank said.

World Bank director for Afghanistan Shubham Chaudhuri said: “Access to job opportunities and better services is the most crucial need of Afghan people, especially returnees and internally displaced Afghans.

“These grants are a significant step forward in helping the government strengthen its service delivery capacities and meet its key policy objectives through boosting institutional reforms.”

The financial package includes $200m to enable economic opportunities and jobs in cities, where there is a high influx of refugees, the World Bank said.  

It also includes $50m to strengthen the skills of municipal employees and management, and improve infrastructure in nine provincial cities.

Last year, a former Afghan government official told PF International the World Bank should give more practical help on the ground to implement “badly needed” reforms.