Economic loss due to Pakistan floods increases from 10 billion to 12.5 billion dollars

In Pakistan, the estimated economic loss from floods has increased from 10 billion to 12.5 billion dollars. A high-profile committee including the Ministry of Finance, Ministry of Planning, State Bank of Pakistan, FBR, PIDE and others evaluated that poverty and unemployment have gone up.

Pakistan’s inflation accelerated for a sixth straight month to hit a fresh record in August. Consumer prices rose 27 percent last month as compared to last year. Around 37 per cent population was hit by poverty after floods in 118 districts, as estimated by the Pakistan government. The unemployment rate stood at 6 per cent before the recent severe floods. Official sources said that the GDP growth would be reduced from 5 per cent to 2 per cent for the current fiscal.

Agriculture growth faced a much more severe impact in the aftermath of floods and the value addition of agro growth in the range of over Rs 500 billion might evaporate in the current fiscal year.

Google has offered the government to get its services to ascertain the total accumulated losses to agriculture and physical infrastructure. The last flood that hit the country in 2010 had caused damage in 78 districts but the ferocity of recent floods could be gauged from the fact that it had caused damage in 118 districts of those areas, which are major hubs of economic activities.