Initial report estimates flood damage in Pakistan at $2.9b: Iqbal
Residents wade through a flooded road, following monsoon rains and rising water levels in Qadirabad village near the Chenab River in Punjab province, Pakistan August 28, 2025. Photo: Reuters
Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal said on Friday that Pakistan suffered losses of over 1,000 lives and damages of around Rs822 billion (approximately $2.9 billion) after the recent floods caused widespread destruction of homes, infrastructure, and essential public services.
Addressing a press conference, he said the government had compiled the initial flood damage assessment report and submitted it to the prime minister. "This is an estimate of damages, not total economic losses," Iqbal clarified, adding that a detailed post-disaster needs assessment (PDNA) was underway to determine the complete economic impact. According to the report, losses in the agriculture sector were the most severe, with damages estimated at Rs430 billion, followed by infrastructure losses of Rs307 billion. He said a total of 312,000 houses were affected across the country, including 213,000 in Punjab, 6,370 in Balochistan, 3,222 in Khyber-Pakhtunkhwa, 3,677 in Azad Jammu and Kashmir and Gilgit-Baltistan, and 332 in Sindh.
He added that 2,811 kilometres of roads were damaged, over 2,200 educational institutions were affected, and 250 health facilities were either damaged or destroyed. Additionally, 866 water infrastructure systems were impacted.
Iqbal said the livestock sector suffered losses of over 2,200 animals, while major crop losses included 3.4 million bales of cotton, one million tonnes of rice, and up to 3.3 million tonnes of sugarcane.
Despite the destruction, he highlighted signs of economic resilience. Inflation dropped to 4.2% in the first quarter (JulySeptember) of FY202526 from 9.2% in the same period last year. FBR tax collection rose 12.5% to Rs2,884 billion, compared to Rs2,563 billion a year earlier. The Pakistan Stock Exchange hit a historic high of 169,000 points on October 3, reflecting investor confidence. Credit to agriculture grew 19.5% to Rs404 billion, while private sector credit rose 16% to Rs9.9 trillion. Remittances also increased 8.4% to $9.5 billion.
Iqbal said Rs155 billion was authorised under the PSDP during July-September, with Rs63 billion disbursed. Nine development projects were approved, three by the CDWP and six by ECNEC, expected to create 166,000 jobs.