ISLAMABAD: Pakistan continued to bear the brunt of the global climate crisis during FY2025-26, with the devastating floods of 2025 causing losses estimated at Rs822 billion, according to the Pakistan Economic Survey 2025-26.
The survey revealed that the floods claimed more than 1,039 lives and forced over four million people to leave their homes, highlighting the country’s growing vulnerability to extreme weather events. It also noted that 2025 was Pakistan’s second warmest year in the last 65 years, with the national average temperature reaching 23.9°C. Annual rainfall remained three percent below the long-term average.
The report stressed that climate change is no longer a future concern but an immediate challenge affecting Pakistan’s economy, agriculture, infrastructure and public welfare. Despite contributing less than one percent of global greenhouse gas emissions and only 0.4 percent of historical emissions, Pakistan remains among the countries most exposed to climate-related disasters.
The survey also highlighted progress under the IMF’s Resilience and Sustainability Facility, including the introduction of a carbon levy, adoption of an electric vehicle policy framework, climate-risk management guidelines, and the implementation of green finance and ESG disclosure standards.
