India-Pakistan war: How Modi govt's surgical strike is destroying Pakistan daily, each day Islamabad is losing...
(File)
India-Pakistan war: Amidst the looming threat of a full-scale India-Pakistan war, or even a targeted military strike by India to avenge last month's barbaric Pahalgam terror attack, Pakistan's already fragile economy is already feeling the heat due to war preparations and the punitive diplomatic measures taken by Prime Minister Narendra Modi-led Indian government.
According to a report by The Sunday Guardian, the Pakistan's armed forces (Army, Navy, and Air Force), are incurring additional expenses or around $1.5 to $3.2 million daily since April 22 (Pahalgam attack), which amounts to $45-$96 million per month, a huge for a country whose economy lies in shambles with high inflation driving millions of citizens towards poverty and starvation. Pakistan economy in freefall after Pahalgam terror attack
As per the report, the Pakistan Army has started mobilizing troops in Pakistan-occupied Kashmir (PoK), deploying around 18000 soldiers stationed in Balochistan to the region as tensions with India threat to boil over into a major conflict.
The fear of a full-scale India-Pakistan war has also drowned the Pakistan Stock Exchange (PSX), with investors losing billions of dollars since the April 22 Pahalgam terror attack. As per official figures, the market cap of Pakistani companies has tanked by around $4 billion, which is huge considering the country does not have gigantic multinational conglomerates like India.
Additionally, the KSE-100 index fell 2500 points to 114,740.29 on April 24 and 1204 points on April 23, while the Pakistani rupee, which was already in freefall, has fallen 30 percent compared to 2023. In wake of the escalating situation with India, the IMF has lowered Pakistan's GDP growth forecast to 3.2% in 2025, How an India-Pakistan war will destroy Pakistan economy?
Beyond political posturing and war threats, its a well-known fact that war costs money, a lot of it, which Pakistan doesn't have. Let us a take look at how much Pakistani armed forces are spending and how a war would destroy the Pakistan economy.
The Pakistan Navy spends roughly $100,000 to $500,000 on patrolling in Karachi and Gwadar Port, while the fuel for its Type 054A/P frigates and Hangar-class submarines is also highly expensive.
The Pakistan Air Force spends $150,000-$400,000 per day on combat air patrols using its JF-17 and F-16 fighter jets, with each aircraft costing $10,000–$15,000 per flight hour for 10–20 flights, according to estimates.
As per experts, the Pakistan's surface-to-surface ballistic missile test on April 24-25 is estimated to cost around $100,000 to $500,000. Pakistan Army's operational costs on LoC
According to defence experts, manning the Line of Control (LoC) is hugely expensive for the Pakistan Army, with $800,000–$1,800,000 spent each day on fuel for its armored vehicles, while logistics for troops and missile systems like the Nasr cost around $600,000 daily.
This amounts to a total cost ranging between $1.5–$3.2 million per day or $45–$96 million per month, putting more burden on Pakistan's $7.64 billion 2024–25 defence budget. Pakistan's armed forces are already on a tightened budget, with the Pakistan Army having the largest allocation ($4–5 billion), followed by the Pakistan Air Force ($1.6 billion), and the Pakistan Navy ($700–800 million). How India conducted a surgical strike on Pakistan economy?
While there was speculation that India would conduct an immediate military strike on Pakistan to avenge the Pahalgam attack, instead New Delhi opted wisely to target the enemy's already vulnerable economy. The Modi government has placed a blanket ban of all Pakistani imports, essentially bringing the bilateral trade to zero, closed the key Attari-Wagah border, and suspended the critical Indus Water Treaty.
Economic experts believe this would have a huge impact on Pakistan's economy with the Attari border closure alone estimated to cost around $2.4 billion in trade, while the suspension of the IWT could have a far reaching impact as 24 percent of Pakistan's GDP is reliant on the Indus River.
Pakistan a GDP of $338.37 billion, and only enough cash left to import goods for around two-three months, while its foreign exchange reserves (Forex) have dwindled to just $13.15 billion, against foreign debt of $26 billion it needs to pay back in the 2025-26 fiscal year.
According to geopolitical experts, the Indian government led by PM Narendra Modi has already brought the Pakistan economy to its knees without even firing a single bullet, by forcing Islamabad to spend heavily on its military amid the threat of an India-Pakistan war.
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