What Drives the Alarming Rise of Poverty in Pakistan?

Poverty in Pakistan remains one of the most pressing and persistent challenges the country faces today. Despite numerous efforts by successive governments, NGOs, and international development organizations, millions of Pakistanis still struggle daily to secure basic necessities like food, clean water, education, and healthcare. As Paradigm Shift, a leading voice in Pakistan’s political and socio-economic discourse, continues to shed light on critical national issues, the spotlight on poverty becomes not just necessary but urgent.

A Snapshot of the Current Crisis

To begin with, it is essential to understand the scale of poverty in Pakistan. According to estimates from the Pakistan Bureau of Statistics and the World Bank, nearly 40% of the population lives below the poverty line. This means that more than 90 million people in the country cannot afford a minimum standard of living. Inflation, especially in food and energy prices, has further exacerbated the situation, pushing even the lower-middle class into economic despair.

The COVID-19 pandemic, coupled with political instability, climate-related disasters like floods, and rising unemployment, has made the poor even more vulnerable. But the question remains: what are the root causes of this widespread poverty?

Root Causes of Poverty in Pakistan

1. Lack of Education and Skill Development

A major factor contributing to poverty in Pakistan is the lack of access to quality education. With millions of children out of school, particularly in rural areas, the cycle of poverty perpetuates from one generation to the next. Even those who do attend school often lack the critical skills needed for gainful employment due to outdated curriculums and poor teaching standards.

2. Unemployment and Underemployment

Job creation has not kept pace with population growth. Pakistan’s labor market is saturated, and even university graduates struggle to find suitable employment. Moreover, many are employed in the informal sector where wages are low, job security is nonexistent, and exploitation is rampant. This leads to a condition known as underemployment, which is just as damaging as unemployment.

3. Corruption and Mismanagement

Corruption within government institutions and public sector organizations has severely undermined poverty alleviation programs. Funds allocated for social welfare are often siphoned off or misused, leaving the intended beneficiaries empty-handed. This endemic corruption has eroded public trust and made it difficult to implement long-term solutions.

4. Inequitable Distribution of Resources

The wealth gap in Pakistan is stark. A small elite controls a vast portion of the country’s wealth and resources, while the majority lives in abject poverty. Feudalism, land monopolization, and urban-rural disparities all contribute to this skewed distribution. Without meaningful land reforms or income redistribution mechanisms, closing this gap seems unlikely.

5. Climate Change and Natural Disasters

Environmental factors have begun to play an increasingly important role in perpetuating poverty in Pakistan. The country is highly vulnerable to climate change, with floods, droughts, and heatwaves affecting agriculture — a primary source of income for many. The 2022 floods, for example, displaced millions and destroyed livelihoods overnight.

Government Responses and Their Limitations

Over the years, several poverty alleviation initiatives have been launched, such as the Benazir Income Support Programme (BISP), Ehsaas Program, and Pakistan Poverty Alleviation Fund (PPAF). These programs have had some success in providing relief to the poorest of the poor. However, they often fall short due to lack of coordination, transparency issues, and insufficient funding.

Moreover, short-term cash disbursements do little to address the structural issues that cause poverty. What Pakistan needs is a holistic, long-term approach that includes education reform, job creation, land redistribution, and climate resilience.

Role of Public-Private Partnerships

In recent years, there has been increasing recognition that the government cannot tackle poverty in Pakistan alone. Private sector involvement, especially through Corporate Social Responsibility (CSR) programs, has shown promise. Many companies are investing in community development, education, and healthcare, creating opportunities where none existed before.

NGOs also play a vital role by filling in the gaps left by the state. Organizations like The Citizens Foundation (TCF), Akhuwat Foundation, and Edhi Foundation have demonstrated how grassroots efforts can yield significant results when properly supported.

The Importance of Women Empowerment

Women make up nearly half of Pakistan’s population but are disproportionately affected by poverty. Gender inequality restricts their access to education, employment, and healthcare. Empowering women through education, microfinancing, and legal reforms could significantly reduce poverty in Pakistan. Numerous studies show that when women are economically empowered, entire families benefit, leading to better health and education outcomes.

Urban vs. Rural Divide

Poverty in urban areas is typically more visible, but rural poverty is deeper and more entrenched. In villages and remote districts, people often lack access to electricity, roads, hospitals, and schools. This disconnect between urban and rural Pakistan is one of the biggest challenges to equitable development.

For instance, provinces like Balochistan and parts of Sindh continue to suffer from chronic underdevelopment. Without decentralization and empowerment of local governments, addressing rural poverty will remain a distant dream.

What Can Be Done?

Tackling poverty in Pakistan requires a multi-dimensional strategy:

1. Invest in Human Capital: Prioritize education, vocational training, and healthcare to empower citizens and build a skilled workforce.

2. Ensure Economic Inclusion: Provide microfinance loans, support small and medium enterprises (SMEs), and remove barriers to business creation.

3. Improve Governance: Strengthen institutions, eliminate corruption, and improve service delivery in poverty-stricken areas.

4. Implement Progressive Tax Reforms: Broaden the tax base to increase government revenue for social welfare programs.

5. Enhance Climate Resilience: Develop infrastructure and policies to protect vulnerable communities from environmental disasters.

6. Strengthen Safety Nets: Expand programs like BISP and Ehsaas with improved monitoring and accountability mechanisms.

Role of Media and Civil Society

Platforms like Paradigm Shift play a crucial role in creating awareness and advocating for policy reforms. By highlighting the plight of the poor and analyzing government actions critically, independent media can help build public pressure for real change. Civil society must also mobilize at local and national levels to demand justice, equity, and accountability.

A National Moral Obligation

At the end of the day, reducing poverty in Pakistan is not just an economic or political challenge — it is a moral obligation. No country can hope to progress when a large section of its population is deprived of basic human dignity. Social cohesion, peace, and national unity depend on addressing this crisis comprehensively.

Conclusion

In conclusion, poverty in Pakistan is a complex, deeply rooted problem that cannot be solved overnight. However, with a clear roadmap, collective will, and sincere implementation of policies, the country can make significant progress. Whether it’s through better governance, inclusive growth, or empowered civil society, each stakeholder has a vital role to play.

As Paradigm Shift continues its commitment to shedding light on the nation’s most urgent issues, the conversation around poverty must remain active, constructive, and forward-looking. After all, the real test of a nation lies in how it treats its most vulnerable citizens. Solving poverty in Pakistan is not just a necessity — it is the first step towards a truly just and prosperous society.