Poor families displaced by the floods urgently need direct cash transfers to survive and begin rebuilding their lives.

Many concerned individuals and organisations, aware of the crisis’s severity, are willing to contribute. However, their support hinges on the presence of a credible system that ensures traceability and accountability of the funds they commit.

Musadaq Zulqarnain, a leading exporter, believes the government currently lacks the fiscal space to respond effectively.

“Any new initiatives will require diverting allocations from the Public Sector Development Programme or increasing the fiscal deficit, subject to the IMF’s approval. The latter, in particular, risks fuelling further inflation,” he warned.

Ehsan Malik, former CEO of the Pakistan Business Council, noted that while rehabilitation needs are unclear, the required sum is likely substantial and beyond the capacity of federal and provincial governments, even if the IMF eases fiscal targets.

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