Islamabad, July 3 Pakistan has spent about 10 billion dollars in the war on terror during the financial year 2008-09, the chairman of the Panel of Economists of the Planning Commission, Hafiz Pasha has said.

Talking to media persons, after releasing the Human Development in South Asia Report 2008, Pasha said the ongoing military operation in the Swat and Malakand Divisions is likely to cost an additional 100 billion rupees.

Pasha said that military offensive in NWFP has adversely affected the economy of the country and the region particularly.

"Pakistan's economy is facing multidimensional losses as investment and exports are declining and economic activity leading to reduced revenue," The Daily Times quoted Pasha, as saying. (ANI)