In the aftermath of 2010 floods, UNESCO has initiated a major project "Strategic Strengthening of Flood Warning and Management Capacity of Pakistan" for upgrading the flood forecasting and early warning system, and for the risk mapping of flood plains along the Indus River, in cooperation with the government of Japan.
Given the historic relationship between the risk premium and economic growth, the market is currently forecasting a growth rate over the next few years of about 1%.
With the number of commentators out there forecasting a recession increasing by the day, markets appeared scared on Thursday, as the risk-off trade caught on.