Navigating the cost of instability

The economic impact of PTI’s protest in Islamabad, coupled with administrative measures to limit participation, counter its message, disperse the crowd, and clear the venue, extends beyond the huge financial toll, estimated at Rs950 billion, on the country. The projected losses, amounting to Rs190bn per day over five days, are attributed to disruptions to transport, supply chains, and economic activity caused by the recent crisis, as cited by Finance Minister Muhammad Aurangzeb in a press conference last week. This figure includes the opportunity cost of lost economic activity during the chaotic period, along with setbacks to stabilisation efforts due to increased security expenditure, reduced tax revenues, and lower export earnings. The negative impact on the information technology and tech sectors was particularly significant.