Afghanistan is considering setting up conferences in Dubai and Chicago to woo expatriate Afghan businessmen back home.

News of the scheme came after a meeting between Afghan's president Hamid Karzai and US under secretary for economic affairs, Alan Larson.

Last month, Mr Karzai's tour of the Arab Gulf states to appeal for more help in restoring his country's shattered economy was unexpectedly called short.

Mr Larson is touring Afghanistan, Pakistan and India in order to help boost trade and investment relations, and discuss ways of increasing private-sector investment.

Following his meetings in Pakistan, Mr Larson stressed that trade will be the engine for growth in the next stage of the region's development.

Aid shortfall

"Trade within this region is a very, very powerful force that can be tied not only to the economy in Afghanistan but also the economy here [Pakistan]," he said.

Export duties on cross-border trade from Afghanistan have been abolished recently in order to try and boost business.

The rebuilding of Afghanistan's economy after last year's US strikes and 10 years of civil war is progressing slowly.

Mr Larson said that he saw evidence of progress but the rebuilding process needed to happen more quickly.

Afghanistan is still facing a massive shortfall in funding for vital reconstruction projects, after pledged aid from western countries has failed to materialise.