Pakistan opposition's November protests cost economy PKR 191 billion daily: Finance minister

Pakistan's Finance Ministry has estimated massive economic losses from the recent Khan-led party's protests that turned violent in the capital in late November 2024.

According to Finance Minister Muhammad Aurangzeb's written reply to the Senate, the daily economic losses incurred during the Pakistan Tehreek-e-Insaf (PTI) protests were estimated at PKR 190.7 billion. These protests demanded jailed former PM Imran Khan's release. They were dubbed the "final call", and led by Khan's wife Bushra Bibi and PTI leader Ali Amin Gandapur.

During the Senate's question hour, Senator Quratul Ain Marri submitted a written inquiry to the Finance Minister. She sought information about the economic impact of the protests in Islamabad on the country's GDP. The Senator also asked about measures being taken to mitigate these losses and restore investor confidence.

In his written response, Finance Minister Muhammad Aurangzeb stated that while the Pakistan Bureau of Statistics is responsible for releasing GDP estimates, including its size and composition, no official study or data has been published quantifying the economic impact of the recent protests on the country's GDP.

However, he said, these protests, which saw violent clashes between demonstrators and security forces resulting inmultiple casualties, impeded the country's economic recovery through multiple channels, resulting in GDP losses.

Aurangzeb explained that calculating the economic impact of protests is a complex and challenging task, as it is difficult to assign monetary values to various affected activities. Nevertheless, despite these measurement challenges, estimates indicate that the daily economic losses amount to approximately PKR 190.7 billion.

The estimated daily losses include PKR 144 billion in value-added economic activity, PKR 16 billion in exports, PKR 26 billion in FBR tax collection, PKR 1.7 billion in IT exports, and PKR 3 billion in Foreign Direct Investment (FDI) inflows. These figures do not include additional costs to the national treasury, which significantly impact fiscal management.

November's protests

Demonstrations in Pakistan's capital Islamabad erupted after the imprisoned former Prime Minister called for nationwide protest from his jail cell in November 2024. Khan opposed recent constitutional changes and claimed his party had been unfairly sidelined in Pakistani politics.

His wife Bushra Bibi and party leader Ali Amin Gandapur led thousands of supporters toward parliament in Islamabad from November 24-27, despite government efforts to block the demonstrations with security lockdowns and internet restrictions.

The protests reached a critical point during a midnight crackdown by security forces on November 26-27. While Khan's party claimed multiple protesters were killed, government officials denied using live ammunition.

The demonstrations ended when Khan's Pakistan Tehreek-e-Insaf party suspended its protest campaign, citing what it called "government brutality."