Islamabad: The prolonged closure of border checkpoints between Pakistan and Afghanistan has caused significant economic losses for Pakistan, particularly affecting the revenue of Khyber Pakhtunkhwa province. According to local media reports, trade suspension at the border since October 2025 has led to a 53.02 percent drop in the province’s revenue, prompting the provincial government to seek federal intervention.
As reported by Pakistan’s leading daily, Dawn, there has been a sharp decline in the collection of the Infrastructure Development Cess (IDC) in Khyber Pakhtunkhwa. During the first seven months of the current fiscal year, IDC collections fell to 3.48 billion Pakistani rupees compared to 7.42 billion rupees in the same period last year.
Muzammil Aslam, financial advisor to the Chief Minister of Khyber Pakhtunkhwa, has written to Commerce Minister Jam Kamal requesting an emergency meeting of stakeholders at both provincial and federal levels. The meeting is expected to address issues such as the revenue impact on the province, problems faced by exporters and traders, blocked payments, and the halt in commercial activities.
Aslam highlighted that the ongoing disruption at the border has severely affected Khyber Pakhtunkhwa’s revenue, economy, and employment. He noted that the initial decline in cess collection was due to a court stay order which was resolved in November, but recovery efforts have been unsuccessful because cross-border trade remains suspended.
He further explained that exporters and traders are in a critical situation, with shipments and payments stuck on both sides of the border. Many businesses are unable to meet their statutory cess obligations due to the trade suspension.
The border checkpoints between Pakistan and Afghanistan have been closed since October 2025, causing bilateral trade to come to a complete standstill. This situation arose following eight days of clashes between Pakistani security forces and the Taliban. Despite multiple rounds of talks to reduce tensions, the border remains shut.
Meanwhile, on January 4, residents of Landi Kotal in Khyber Pakhtunkhwa staged a protest demanding the immediate reopening of the Torkham border. The demonstration, organised under the banner of the All Borders Coordinators Council, included traders, transporters, tribal elders, daily wage workers, political party activists, and members of civil society.
Speakers at the protest stated that the border closure has caused “economic murder” of thousands of people, most of whom belong to tribal communities and depend entirely on cross-border trade. They described the Torkham border as a key trade gateway to Central Asia and stressed that the area is the livelihood centre for thousands of families.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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