(Another) all-out war: Afghanistan and Pakistan - Economist Podcasts Recap

Podcast: Economist Podcasts

Published: 2026-03-24

Duration: 1205

Guests: Tom Sasse, Joshua Roberts, Caitlin Talbot

What Happened

The conflict between Afghanistan and Pakistan has intensified, with significant military actions taking place. On March 16th, a Pakistani airstrike targeted the Omid Addiction Treatment Hospital in Kabul, resulting in a mass funeral for the victims. This act was part of Pakistan's campaign to pressure Afghanistan to crack down on the Pakistani Taliban (TTP), which Pakistan accuses Afghanistan of harboring.

Tom Sasse, South Asia Bureau Chief, explains that the Taliban in Afghanistan deny sheltering the TTP, but the Pakistani military believes they could do more to control the group. The TTP, which has around 7,000 to 10,000 fighters, has been increasing attacks in Pakistan, contributing to the escalation of violence between the two countries.

The Pakistani military has launched a series of airstrikes and ground attacks targeting Afghan military sites. Despite a temporary truce during the Muslim holiday of Eid, violence is expected to resume. The conflict has also led to a humanitarian crisis, with over 2 million Afghan refugees being sent back to Afghanistan by Pakistan since 2023.

Joshua Roberts, Capital Markets Correspondent, discusses the impact of the ongoing Iran war on global oil prices and inflation. The rise in oil prices affects various aspects of the economy, such as transport and food costs, and raises concerns of a wage-price spiral, where rising prices lead to increased wage demands, further inflating costs.

Central banks face a dilemma on whether to raise interest rates to control inflation or to avoid stifling economic growth. Historical examples like the 1970s oil shock serve as cautionary tales, illustrating the potential for prolonged economic disruption if inflation expectations become entrenched.

Caitlin Talbot, Digital Culture Correspondent, reports on the growing trend of listening parties in the music industry. These events, initially exclusive to industry insiders, have become a popular promotional tool for artists to engage with fans and boost album sales. Artists like Bruno Mars and Harry Styles are leveraging listening parties to create buzz and foster a sense of community among fans.

Key Insights

• The conflict between Afghanistan and Pakistan has escalated due to Pakistan's accusation that Afghanistan harbors the TTP, leading to deadly airstrikes and border raids.
• The Pakistani Taliban (TTP) has increased its attacks, with around 7,000 to 10,000 fighters mostly operating in northwest Pakistan, contributing to the deteriorating relations between the two countries.
• The Iran war has caused a significant rise in oil prices, impacting inflation globally and raising concerns about a potential wage-price spiral that central banks may struggle to control.
• Listening parties have become a key promotional tool for artists like Bruno Mars and Harry Styles, helping to boost album sales by creating early engagement with fans and fostering community experiences.