In the fog of the ongoing USA–Israel–Iran war, an important report highlighting the scale and ramifications of terrorism in Pakistan has largely gone unnoticed.
The Institute for Economics and Peace (IEP) is an independent, non-profit think tank headquartered in Sydney, Australia, that measures peace as a tangible, data-driven component of human development. Founded in 2007 by Steve Killelea, it produces globally recognised indices—like the “Global Peace Index (GPI)” and “Global Terrorism Index (GTI)”—to calculate the economic value of peace and analyse factors that sustain it.
A rating from the IEP, primarily through the GPI and GTI, is crucial for a country because it acts as a comprehensive, data-driven benchmark of its stability, safety, and economic viability on the global stage. Covering 163 nations and 99.7% of the world's population, this rating directly influences foreign investment, economic policy, and international reputation.
The Global Terrorism Index (GTI) 2026 was officially released on 21 March 2026. For the first time, Pakistan was ranked as the most “terrorism-impacted” country globally. Sub-Saharan Africa was identified as the epicentre of terrorism, accounting for 48% of all global terrorism deaths.
It notes that in 2025, Pakistan recorded 1,139 deaths and 1,045 incidents, the highest levels seen since 2013. This is part of a consistent, six-fold increase in terror activity since 2020. It signifies a worrying trend and a serious challenge to the country because, overall, global terrorism deaths and incidents have fallen to their lowest levels since 2007.
In another report by the South Asia Terrorism Portal (SATP), Pakistan recorded around 1,700+ terrorist incidents in 2025, with fatalities close to 4,000, making it the most violent year since 2013.
It is necessary to understand that international investors generally view any country with a high position on the GTI as a high-risk market, leading to a significant negative impact on foreign direct investment (FDI) and capital flows. The basic reason is the investors’ fear of an increased threat to physical and human assets.
Terrorism creates uncertainty, reducing the expected return on capital and prompting investors to move assets to safer countries. Investment, particularly in sectors such as tourism, manufacturing, and infrastructure, suffers disproportionately in countries facing high terrorist activity.
The road to diplomacy is always open and welcome, but until an earnest, verifiable effort is witnessed from the Taliban government heeding Pakistan’s genuine demands, the route to kinetic operations will likely continue in the foreseeable future
Violence also has a direct and significant negative impact on GDP growth by damaging infrastructure and disrupting economic activities. Governments are forced to shift resources from education, infrastructure, and social development to defence and security, hindering productive economic growth.
Research shows that the negative impact on economic growth is up to three times greater in low-income countries compared to high-income countries due to weaker institutional capacity to manage the crisis.
Terrorism also hinders international trade by affecting supply chains, increasing the cost of doing business, and slowing the flow of capital across borders.
In summary, high GTI scores directly correlate with economic instability, capital flight, and diminished economic prospects. The impact is most severe for developing nations, where the cost of security can drain already limited resources.
According to the report, in 2025, Pakistan faced a "deadliest" resurgence by the Tehreek-i-Taliban Pakistan (TTP). The threat landscape is characterised by high-intensity attacks concentrated in Khyber Pakhtunkhwa (KP) and Balochistan, with safe havens and training camps in Afghanistan.
TTP attacks increased by 24% in 2025 compared to 2024, with nearly 600 attacks causing over 500 deaths, making it one of the most lethal groups globally. Under the leadership of Noor Wali Mehsud, the group is active in Khyber Pakhtunkhwa (KP) and tribal districts, using guerrilla tactics, improvised explosive devices (IEDs), and complex attacks.
As mentioned above, TTP operates with relative impunity from Afghan territory, taking advantage of the Taliban’s control in Afghanistan, which has led to high tensions and cross-border skirmishes between Pakistan and Afghanistan.
The second on the terrorist list is the Baloch Liberation Army (BLA) & Majeed Brigade. Balochistan has seen a surge in violence in 2025, from separatist groups targeting security forces, Chinese interests, and infrastructure projects under the China–Pakistan Economic Corridor (CPEC). They also have safe havens in Afghanistan and indulge in violence against Pakistan without any fear of reprisal from their host country.
While sustaining some setbacks in 2025, Islamic State Khorasan Province (ISKP) remains a significant threat capable of conducting high-impact attacks. ISKP continued to operate in Balochistan and KP, claiming responsibility for attacks like the April 2025 Mastung bus bombing, which targeted security personnel. They target both security forces and civilians, often with a sectarian dimension.
Jamaat-ul-Ahrar (JuA), which is a powerful TTP faction responsible for high-profile suicide attacks in urban areas, such as the November 2025 Islamabad court bombing, remains active.
Similarly, Lashkar-e-Jhangvi (LeJ) continues to be a key player in sectarian violence, often collaborating with the Taliban, according to security officials.
Khyber Pakhtunkhwa and Balochistan are the two provinces which accounted for over 90% of the country's violence in 2025, with KP being the worst-hit region.
The harsh reality is that despite Pakistan having acted as a Muslim brother to Afghans, hosting nearly 5 million refugees since 1979 and providing support to them, Afghanistan, after 2021, slowly slid into becoming a sanctuary for terrorists inimical to Pakistan.
Despite numerous correspondences between the two countries and parleys held between them, with friendly countries like China, Türkiye, and Qatar providing the diplomatic platform, Afghanistan has not taken any concrete measures to eliminate the terrorist sanctuaries. Resultantly, innocent Pakistanis have been martyred by this terrorism, apparently with the tacit approval of the Taliban government.
In view of the above facts, what recourse was available to Pakistan, except to act against the terrorists by launching Operation Azm-e-Istehkam and label them as Fitna al-Khawarij? Which country, worth its salt, can stand the killing of its citizens through an insurgency and extreme violence inflicted by terrorist organisations having sanctuaries in another country?
The road to diplomacy is always open and welcome, but until an earnest, verifiable effort is witnessed from the Taliban government heeding Pakistan’s genuine demands, the route to kinetic operations will likely continue in the foreseeable future.
The evidence is unambiguous. Pakistan is confronting a renewed and evolving terrorism landscape, with a direct impact on the lives of its citizens. Its response also needs to be equally adaptive and resolute.
Kinetic measures provide respite, but they are not the final solution. Regional cooperation on a unified response to terrorism needs to evolve. Internal capacity—policing, development, and other contours of governance—needs to be strengthened to ensure an inclusive, unified body politic of Pakistan.
The time to wake up is now.