Pakistan Placed 222nd in Global Risk and Resilience Index

Pakistan has been ranked among the least resilient countries in the world, according to the newly released Global Investment Risk and Resilience Index by Henley & Partners. The report highlights Pakistan’s ongoing challenges in economic stability, governance, and investor confidence. Developed in partnership with AI analytics firm AlphaGeo, the index evaluates countries on their exposure to geopolitical, economic, and climate risks, along with their ability to adapt and recover. Pakistan ranked 222nd out of 226 countries, just above Sudan, Haiti, Lebanon, and South Sudan, which occupy the bottom positions. In a statement, Henley & Partners said that significant political instability, along with legal and regulatory risks, continues to shape Pakistan’s high-risk profile. The report added that weak governance, limited innovation, and low social development further constrain the country’s resilience, pointing to entrenched instability and a lack of adaptive capacity. At the other end of the spectrum, Switzerland topped the index, recognized for its low risk and strong performance in innovation, governance, and social development. Denmark, Norway, and Sweden followed among the top five, while Singapore ranked fourth with the lowest legal and regulatory risk globally. The findings underscore the urgent need for structural reforms in Pakistan to strengthen its institutions, encourage innovation, and rebuild investor trust. On the positive side, Pakistan recently reached a staff-level agreement with the IMF on its Extended Fund Facility (EFF) and Resilience and Sustainability Facility (RSF), paving the way for further disbursements and signaling renewed confidence. In a recent IMF report, Pakistan’s GDP growth is projected to reach about 3.6 per cent in 2026, up from around 2.7 per cent in the current year. But it has also warned that recent severe flooding in the third quarter of 2025 may weigh on growth, inflation and the current-account balance, noting that the full impacts remain uncertain.