Pakistan has informed the International Monetary Fund (IMF) that recent floods caused massive damage to the country’s economy. The Ministry of Finance shared an initial assessment report estimating losses at Rs744 billion.
The floods affected 70 districts, resulting in one of the worst natural disasters in recent years. The report states that 1,037 people died and 1,067 were injured. Over 6.5 million people were directly affected, and four million were relocated to safer areas.
Punjab suffered the highest economic losses at Rs632 billion, followed by Khyber Pakhtunkhwa with Rs51 billion, Sindh at Rs32 billion, and Balochistan with Rs7 billion. Khyber Pakhtunkhwa also recorded the highest death toll of 509, followed by Punjab with 322.
The agriculture sector bore the brunt of the disaster, losing Rs439 billion. The industrial sector faced Rs48 billion in losses, while services suffered Rs257 billion. Real estate and commercial sectors lost Rs55 billion and Rs40 billion, respectively. Livestock deaths totaled 5,467, worsening rural economic conditions.
Infrastructure damage was extensive, with 2,811 kilometers of roads, 790 bridges, and 866 water structures destroyed. Additionally, 229,763 houses, 2,267 schools, 243 health centers, and 129 government buildings were affected.
Agricultural production is now expected to grow only 3%, down from the targeted 4.5%. Cotton output fell by 33% to 7.2 million bales, while rice, maize, and sugarcane production also declined, affecting food supply.
The Ministry of Finance told the IMF that Pakistan’s economic growth is likely to remain at 3.5%, below the 4.2% target for the current fiscal year. The government has requested support from the IMF to help with rehabilitation and reconstruction efforts, prioritizing infrastructure restoration and livelihood recovery.
This report highlights the urgent need for assistance and underscores the significant impact of the floods on Pakistan’s economy.
In other related news also read Pakistan-IMF Talks: Punjab Withholds Surplus Citing Flood Aftermath
