Global Warming: A Termite of the Economic Fabric of Pakistan

 With the changes in the climate leading from the catastrophic floods in Asia, to the most abrasive droughts in Europe and Africa, the world being at the verge of destruction, is facing an alarming situation. Undoubtedly, this alarming situation is caused by the single risk of increasing temperature in the Earth’s atmosphere, giving rise to the phenomenon of global warming. Global warming is regarded as one of the emerging Earth’s environmental risks, as it not only stimulates natural disasters, including floods, famines, etc but also causes hazardous health effects. Ironically, its severe effects have resulted in environmental damage. Besides causing environmental degradation, global warming is also damaging the economic factor of under-developed countries, as it is affecting economic growth, percentage of unemployment, interest as well as exchange rates, and commodity prices.

Sadly, among the under-developed countries, this termite is damaging the economic fabric of Pakistan to a greater extent. Damaging the economic fabric of Pakistan, with the aid of global warming, was not a nightmare just like Rome was not built in a day. It is the result of man-made activities that increased the temperature of the earth, consequently, leading to the phenomenon of global warming, which slowly and gradually started to destroy Pakistan’s economic fabric. A high level of global warming itself is not involved in disturbing the economic structure of Pakistan; however, it has given rise to catastrophic disasters, including floods, droughts, famines, etc., which in turn are causing huge destruction in the country. As a result of this destruction, the economic growth, percentage of unemployment, interest as well as exchange rates, and commodity prices, collectively, have been affected significantly. 

High levels of global warming gave rise to heavy floods. According to the National Disaster Management Authority report, the recent floods of 2022 not only destroyed the economic structure of Pakistan but also were as lethal as cancer, as due to these floods, a lot of people have died. According to the report, 1739 people have died, 8 million people have been displaced and 33 million people have been affected during these heavy floods. Due to these floods, the crops were reduced significantly. Therefore, due to the lesser supply of crops, there is an increase in the demand of the consumers, which in turn has increased the prices of the commodities, leading to inflation in the country. According to a report of  trading economics, inflation has increased from 24.9% to 27.26%, during the months of flood.

Not only has inflation disrupted Pakistan’s economy due to heavy floods, but also the economic growth, as well as the exchange rate, have been badly influenced by this termite, named “Global Warming”. The GDP has fallen due to a destabilized economy. As a result of this reduced economic growth, the Pakistani currency is also devalued, due to which the exchange rates are also affected.

Global warming has led Pakistan to the edge of destruction in terms of the economy; however, certain pragmatic steps including, less consumption of fossil fuels, and using public transport can reduce the level of global warming which in turn can help in making Pakistan’s economic fabric much better.