Pakistan’s Poverty Rate Projected to Reach 28.9%, Economic Survey Reveals

Pakistan’s poverty rate is projected to increase to 28.9 percent, reflecting mounting economic challenges and growing disparities across the country, according to the latest Economic Survey.

The survey highlights a significant rise in poverty levels in both rural and urban areas. Rural poverty is estimated to have increased from 28.2 percent to 36.2 percent, indicating that communities dependent on agriculture and informal employment continue to face severe economic pressures. Urban poverty also witnessed a notable rise, climbing from 11 percent to 17.4 percent, underscoring the impact of inflation, unemployment, and rising living costs in cities.

Provincial data presented in the survey shows that Balochistan recorded the highest poverty rate in the country at 47 percent, reflecting persistent socio-economic challenges and limited access to development opportunities. Khyber Pakhtunkhwa followed with a poverty rate of 35.3 percent, while Sindh registered 32.6 percent. Punjab reported the lowest poverty rate among the provinces at 23.3 percent, though nearly one-quarter of its population is still estimated to be living below the poverty line.

The Economic Survey also pointed to a widening gap between rich and poor households. According to the report, the income disparity increased from 28 percent to 33 percent, indicating that the benefits of economic growth have not been distributed evenly across society.

Economists warn that rising poverty and growing inequality could have long-term implications for social stability, human development, and economic growth. They stress the need for targeted social protection programs, employment generation initiatives, and measures aimed at controlling inflation to protect vulnerable segments of the population.

The findings come at a time when Pakistan is striving to stabilize its economy, improve fiscal indicators, and accelerate development, while millions of households continue to grapple with the effects of high prices, limited income growth, and economic uncertainty.