She doesn't have many friends in this town.

Literal

She [topic-は] this town [in-にはあまり] friends [subject-が] don't-exist.

Notice the layered particle stack この町には: location に + topic は. The composite には ('as for in [town]') sets the location as a topic, focusing the negative claim on it specifically — implicitly contrasting with other places where she might have friends. あまり~ない is the standard pattern for 'not very/much' — a softener that hedges a negative observation without going as strong as 全然 ('not at all') or ほとんど ('hardly any'). 友達がいる/いない is the existential frame for friends — Japanese says 'friends exist for [me]' rather than 'have friends.'