The World Bank has warned that the Panama Papers issue has enhanced political risks in Pakis'tan and created some policy uncertainty. In its report titled 'Pakistan Development Update', launched yesterday, the bank cautioned that the country was exposed to political uncertainty, terrorism and natural disasters on the domestic front. <br/><br/>It said the upcoming national elections may affect reform momentum and macroeconomic policy orientation. According to a World Bank statement, the report, released twice a year, sets out recent developments across the economy and identifies risks and opportunities in the near-term future before focusing on a handful of key development challenges.<br/><br/>Earlier, many other international financial institutions had also warned that the Panama Papers issue may have consequences for Pakistan's growth.<br/><br/>