Flood Losses Estimated at Rs822 Billion as Ahsan Iqbal Calls for Structural Reforms and a “One Trillion Dollar Economy by 2035”
Islamabad: Federal Minister for Planning, Development and Special Initiatives Prof. Ahsan Iqbal Chaudhry has revealed that Pakistan has suffered Rs822 billion in damages due to the recent devastating floods that claimed over 1,000 lives nationwide. Presenting the government’s monthly development update and an initial flood damage assessment report, he said the disaster had severely hit the agriculture and infrastructure sectors while stressing that Pakistan must now focus on long-term structural and governance reforms to accelerate growth.
Speaking at an event in Islamabad, Ahsan Iqbal said that Rs430 billion losses were recorded in agriculture, while infrastructure sustained Rs307 billion in damage. More than 213,000 houses were destroyed in Punjab, 6,000 in Balochistan, 3,332 in Sindh, and 3,200 in Khyber Pakhtunkhwa. Additionally, 3,600 homes were damaged in Azad Kashmir and Gilgit-Baltistan. “We have already sent the initial damage assessment report to the Prime Minister,” he said.
The floods also impacted 2,267 educational institutions, while rice production losses are estimated between 0.6 to 1.2 million tons, he added. The minister said that the government has begun a regular practice of issuing monthly progress reports to ensure accountability and transparency in planning and development projects.
Despite the natural disaster, Ahsan Iqbal said that the national economy showed encouraging signs of recovery in the first quarter of the fiscal year. Inflation, he said, fell from 9.2% to 4.2%, while tax collection rose by 12.5%, reaching Rs2,884 billion compared to Rs2,563 billion in the same period last year. He also reported a 16% increase in private sector and banking credit, reflecting renewed business confidence, and noted that foreign remittances rose by 8.5%, showing restored trust among overseas Pakistanis.
Highlighting diplomatic and strategic successes, the minister said Pakistan had achieved “significant progress” in rebuilding global partnerships, citing the Gaza peace accord, renewed Pakistan–US engagement, and a new Pakistan–Saudi Arabia agreement as major milestones. He said Pakistan’s constructive role in facilitating regional peace had been acknowledged internationally, including by former US President Donald Trump.
Ahsan Iqbal outlined the government’s “Uraan-e-Pakistan Programme,” which envisions transforming Pakistan into a one trillion-dollar economy by 2035 through structural, regulatory, and governance reforms. He said 2026 would be celebrated as the “Year of Reforms and Modernization of the Economy.” The government plans to eliminate red tape, promote business-friendly policies, and establish a new regulatory framework to support investment and entrepreneurship.
“Pakistan’s future depends on innovation, good governance, and the courage to reform,” the minister declared. “We will rebuild the governance structure, end bureaucratic bottlenecks, and turn Pakistan into a business-friendly state.” He added that social reforms would also be prioritized, with religious scholars engaged in promoting unity and values within society.
Ahsan Iqbal emphasized that consistent policies and investor confidence are vital to achieving high economic growth. “If we ensure stability and continuity in policies, there is no doubt Pakistan will progress rapidly,” he said, urging both public and private sectors to work together toward shared prosperity.
