Terror-related incidents: Country suffers Rs 407.21 billion losses in fiscal year 2017

Pakistan has suffered an estimated loss of Rs 407.21 billion in 2016-17 due to terror related incidents, lower by Rs 268.3 billion from the year before, while the total loss estimated during the last 16 years under this head is Rs 10,373.93 billion (US $123.13 billion), according to the Economic Survey of Pakistan 2016-17. Direct and indirect costs incurred due to terror related incidents have been gradually declining which clearly reflects the effectiveness of Government's efforts to eliminate terrorism and extremism from the country, so stated the Survey.
The 40.2 percent decline in terror related costs between 2015-16 and 2016-17 has been accomplished largely due to successful counter terrorism efforts of the government under the framework of the comprehensive National Action Plan, backed by an extensive and highly effective counter terrorism operation Zarb-e-Azb by the armed forces, and actions by other security and law enforcement agencies and intelligence based operation across the country. After successful completion of Zarbe-Azb, a country-wide operation Radd ul Fassad has been launched to eliminate any residual or latent threats, the Survey further noted.
According to the report, the highest estimated loss from terrorism was in 2010-11 estimated at Rs 2037.33 billion whereby the lowest amount of loss Pakistan faced was in 2002-03 of Rs 160.80 billion. In last two fiscal years, the impact of the incidents of terrorism on the economy of Pakistan is estimated as US $10,373.36 million including (i) the loss of tax collections of $5920 million, (ii) privatization loss of $262.73 million, (iii) foreign investment loss estimated at $1996.30 million, (iv) expenditure over run of $1197.11, (v) physical infrastructure loss of $928.75 million, (vi) industrial output loss of $29.38 million, (vii) cost of uncertainty estimated at $14.82 million, (viii) compensation to affectees amounting to $21.88 million, (ix) exports loss of $0.503 million while (x) other losses reported at $1.90 million.
Due to the war in Afghanistan, Pakistan has faced the most serious consequences - from political to security, socio economic and environmental - over the decades. From hosting millions of refugees to being a major victim of terrorism, the cumulative impact has been enormous, with adverse overall growth rate in all major sectors of the economy. Normal economic and trading activities were disrupted, resulting in higher costs of doing business including cost of insurance 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 couldn't pick up as planned during last decade, the Survey contended.