Pakistan's economy has suffered losses amounting to $67.93 billion due its operations against terrorists since 2001, said the Pakistan Economic Survey 2010-11.
The economic survey said that the war on terror has spread since 2006 and has so far left over 35,000 citizens and 3,500 security personnel dead, Associated Press of Pakistan reported.
The economic survey said that the battle against the militants impacted the country's exports, prevented the inflow of foreign investment, affected the pace of privatisation programme and slowed down the overall economic activity.
It also reduced import demand and tax collection, led to expenditure over-run on additional security spending and damaged domestic tourism industry.
"Pakistan has never witnessed such devastating social and economic upheaval...even after dismemberment of the country by direct war," the survey said.
It added that thousands of jobs were lost due to the destruction of domestic and foreign tourism and the sharp increase in expenditure to support internally displaced persons.
"Pakistan's investment-to-GDP ratio has declined from 22.5% in 2006-07 to 13.4% in 2010-11 with serious consequences for job creating ability of the economy," it added.
Pakistan has witnessed a dramatic increase in terror strikes in the past few years. The attacks intensified after the Pakistan Army launched a major offensive against terrorists hiding in the mountainous North Waziristan region.
There have been a string of terror attacks after the May 2 killing of al Qaeda leader Osama bin Laden in Abbottabad city.