Pakistan suffered Rs9,869.16 billion loss in 14 years

Terror incidents

Economic Survey shows post 9/11, US invasion of Afghanistan led to surge in terrorism, refugee influx and cross-border terror activities, adversely impacting Pakistan’s economy

ISLAMABAD: The Economic Survey for 2015-16 launched here on Thursday by Finance Minister Ishaq Dar reveals that Pakistan’s economy has suffered a colossal loss of $118.31 billion (Rs9,869.16 billion) during the last 14 years.

The direct and indirect cost incurred by Pakistan due to incidents of terrorism in the last 14 years amounted to $118.31 billion (Rs9,869.16 billion).The adverse impact of the menace of deadliest spate of terrorism arising out of the conflict and instability in Afghanistan in the aftermath of 9/11 terrorist attacks and their regional implications had immensely impacted Pakistan’s economy. After the US invasion of Afghanistan, Pakistan saw a huge influx of Afghan refugees as one of the main host countries. There was a sudden rise in the number and scale of terrorist attacks in the country.

The cumulative impact of these developments adversely impacted the overall growth rate in all the major sectors of the economy. Normal economic and trading activities were disrupted, resulting in higher costs of doing business and significant delays in meeting the export orders around the globe. As a result, Pakistani products gradually lost their market share to their competitors. Economic growth could not pick up as planned.

The Economic Survey also mentions that Pakistan continues to be a serious victim of terrorism, including foreign-sponsored terrorism from the immediate neighborhood. A substantial portion of precious national resources, both men and material, have been diverted to address the emerging security challenges and to repair the damaged infrastructure during the last several years. In addition to economic losses, cross-border terrorism in Pakistan has also been responsible for untold human sufferings due to indiscriminate and brutal terrorist and brutal terrorist attacks against civilian population.

In order to address the menace of terrorism and violent extremism effectively, Pakistan has crafted a 20-point National Action Plan (NAP) which outlines various kinetic and preventive measures. The comprehensive, all-out law enforcement action Zarb-e-Azb launched against all terrorist groups without any discrimination has been remarkably successful. “Zarb-e-Azb” has started paying dividend in terms of overall improved security situation in the country. This has created an enabling environment for business and investment in Pakistan. Moreover, both direct and indirect losses to the economy resulting from terrorism are on the decline. Pakistan’s successful counter-terrorism efforts are result of strong domestic political consensus and unanimity on the need to eradicate terrorism in all its forms and manifestations. In the year 2015-16, the losses to Pakistan’s economy have reduced to 39.9 percent.

Pakistan suffered the loss of $2.76 billion in 2001-02, $2.75 billion in 2002-03, $2.93 billion in 2003-04, $3.41 billion in 2004-05, $3.99 billion in 2005-06, $4.67 billion in 2006-07, $6.94 billion in 2007-08, $9.18 billion in 2008-09, $13.56 billion in 2009-10, $23.17 billion in 2010-11, $11.98 billion in 2011-12, $9.97 billion in 2012-13, $7.70 billion in 2013-14, $9.24 billion in 2013-14 and $5.55 billion in 2015-16.