Poverty In Pakistan - The Borgen Project (2024)

According to the Ministry of Overseas Pakistanis, more than 9 million overseas Pakistanis send money home to help their family, contributing to the country’s economy. Remittance to Pakistan is a big part of the country’s foreign exchange. Remittance payments made up almost 8.69% of the country’s GDP in 2022. However, recent figures show that remittances are decreasing, which might damage the country’s economy. The following is an examination of how digital methods could help empower Pakistanis living abroad and increase the money they send home.

Remittance and Pakistan’s Economy

Remittance to Pakistan has always played an important part in the economy of the country. Remittances totaled $31.2 billion in the Fiscal Year 2021–2022, which considerably contributed to the economic growth and stability of the country.

Some have voiced concerns about a fall in inflows in the last quarter of 2022 and the first quarter of 2023. The UAE remittances fell 9.2% from $2.08 billion in July-October 2021 to $1.89 billion in July-October 2022 due to several circ*mstances, including political turmoil in Pakistan. Saudi Arabia’s remittances fell from $2.785 billion in July-October 2021 to $2.459 billion in 2022.

Traditional vs. Digital Platforms for Remittance

Pakistanis living abroad used to send money home through banks and money transfer services. However, these methods come with challenges, like high transaction fees and long processing times. People have also used unregulated channels like Hawala/Hundi, which pose risks while bypassing authorized methods.

However, digital transfer sites have become a quick and easy way for Pakistanis living abroad to send money back home. These systems have benefits like faster transactions, cheaper fees and convenient interfaces. Many mobile apps and websites are there for sending remittances to Pakistan from different countries such as ACE Money Transfer, Tiptap, Remitly, MoneyGram and more.

Using digital tools, Pakistanis living abroad can maximize the amount of money they are able to send home to loved ones. These money transfer channels are regulated and offer easy, competitive exchange rates and more protection. It helps to ensure that every money transfer goes straight to Pakistan’s economy.

Increased inflows of remittances have far-reaching consequences. They help the economy grow, build up foreign exchange reserves and improve the balance of payments. During the first 10 months of the fiscal year 2022-2023, transfers were worth more than $26 billion, down 13% from the previous year. Higher transfers raise the standard of living, provide financial security and reduce poverty at the individual level. According to the World Bank, worldwide remittances reached $554 billion in 2020, with a large percentage flowing to countries with low or middle incomes. Remittances alleviate poverty and inequality in these nations.

Remittance-receiving households in developing nations live better and are less likely to be poor, according to the International Funds for Agricultural Development (IFAD) research. The multiplier effect of remittances has a positive impact on the entire community.

Government Initiatives and the Role of Overseas Pakistanis

The government has taken several steps to encourage people to send money back home. These include premium prize bonds, foreign currency accounts and the Pakistan Remittance Initiative (PRI). The PRI is a joint project of the State Bank of Pakistan, the Ministry of Finance and the Ministry of Overseas Pakistanis. Its goal is to make transferring money back to Pakistan easier, faster, safer and more rewarding.

Overseas Pakistanis have numerous opportunities to contribute further to the country’s economy. These include investing in Pakistan, participating in crowdfunding initiatives and engaging in government-backed diaspora bonds. When a healthy amount of remittances goes to savings and investment, it will help lessen the dependency of Pakistan on external borrowings. The previous government had encouraged overseas residents of Pakistanis to invest in Pakistan’s debt, equities and mortgage markets through their remittances.

Between 2001 and 2018, off-farm income opportunities and remittances lifted approximately 47 million Pakistanis out of poverty. But this fast drop in poverty hasn’t fully led to better social and economic conditions. This is because human capital results have stayed poor and flat, with high rates of 75% learning poverty. Therefore, strong cooperation between fiscal and monetary authorities and political stability in the country are necessary for the long-term effectiveness of policies related to remittance.

– Asia Jamil
Photo: Unsplash

Although education is steadily improving in Pakistan, the country still needs to make many changes, especially in higher education. The current target for Pakistan is to improve enrollment and retention in primary and secondary schools. However, it is essential that Pakistan makes improvements in higher education as well, by addressing current obstacles within its education system.

The Importance of Improving Higher Education

Firstly, Pakistan is in an economically precarious situation. The floods in 2022 greatly reduced agricultural output, the main source of income for rural families. Hence, more people need an alternative source of income. This requires education to build skills so that more young people can enter the job market in a variety of sectors.

Pakistan has one of the largest youth populations in the world with nearly a third of the population between the ages of 15-29. The working-age population is expected to rise to 5 million by 2035. All these young people need jobs but currently, nearly 11% are unemployed. With this large working-age population, Pakistan has the potential to boost the economy.

Higher education provides young people with quality employment opportunities that are highly fulfilling, pay well and help to break free from the poverty cycle. The Pakistan National Human Development Report states that compared to the less educated youth, those with tertiary education secure higher earnings. Currently, 48% of the working population falls into the unskilled worker category. Higher education has the power to change that.

Barriers to Accessing Education

Primary and secondary schools have low retention rates and this disproportionately affects those in poverty. For example, in Sindh, 52% of impoverished children are out of school. Of note, 53% have never received formal education in their lives.

Parents and guardians are not able to guide or prepare children on how to complete applications for higher education. In fact, parents are more likely to discuss how children can follow in their footsteps in jobs that are like theirs, instead of breaking free of the poverty cycle. Parents’ perceptions of education for those living in poverty can drastically shape their children’s progress in education. Many young people are taken out of school to work in a variety of industries, from agriculture to hospitality.

Girls face even greater barriers. Due to the patriarchal norms, elderly members of the family regard their further education to be less of an investment than boys, which can even result in child marriage. Women living in rural areas often become victims sexual harassment while traveling to schools in cities.

Improvements

• Open universities, like the Allama Iqbal Open University, provide a flexible approach to higher education and offer online classes. This allows students who are in remote locations or those who are unable to leave their jobs an opportunity to access higher education. Allama Iqbal Open University currently has a student population of 1 million and 42 % of its students are from rural areas, suggesting that the university has been successful in broadening access to higher education. Notably, 50% of the student body is female. More than 70% of its graduates are employed, suggesting that the curriculum is designed to successfully equip students with skills to enhance their employability.
• Women’s universities, such as the Fatima Jinnah Women’s University are opening across the country. These institutions empower women and prepare students for professional development. These also provide access to higher education to women whose parents are reluctant to allow them to learn in a co-educational environment. Fatima Jinnah Women’s University provides substantial financial support, finds new donors to fund scholarships and offers its own resources to students.
• Improving the Technical and Vocational Education (TVET) program helps students who are looking to be employed straight after completing their education and provides an alternative to university for those who feel less suited to academics. Currently, there are only 3,700 technical and vocational institutes and 2,600 are privately run, which is costly. Thus, those from lower-income families are less able to access TVET. The quality of the curriculum also needs to be improved to better equip students with the necessary skills for employment. This can be done through more hands-on experiences as opposed to rote learning.
• Established in 2013, The Shibli Trust is a nonprofit organization that provides affordable boarding packages to students in Islamabad so that students living in rural areas do not have to travel long distances to attend top universities. They provide three meals a day, gender-separated hostels and free wifi. They also provide scholarships so that lower- and middle-class students can attend high-ranking universities.

It seems that there are many successful schemes being put in place to improve access to higher education in Pakistan. With more young people furthering their education, Pakistan’s economy has the potential to grow exponentially. This change can also create a nation full of successful and fulfilled citizens.

– Sharvari Patil
Photo: Flickr

Pakistan is home to around 200 million people. Despite such a huge population, the country has “one of the poorest mental health indicators” worldwide and “less than 500 psychiatrists,” according to the Lancet Psychiatry. The discrepancy between the high population and corresponding medical support for mental health in Pakistan raises a need to investigate the causes, statistics and potential solutions regarding mental health in the country.

The Stigma and Spiritualism

Around 90% of the population of Pakistan with common mental health disorders do not have access to treatment. And the British Asian Trust reports that roughly “50 million people in the country suffer from mental health disorders.” Also, “stigma, awareness and a lack of service” are all potential explanations for the mental health issues in Pakistan.

There is a common stigmatization of mental health and its effects in Pakistan, thus impacting the lack of awareness and support for those in the country struggling with mental health disorders. Along with this, there is also a recurring association between mental health and spiritualism. According to Sehat Kahani, people often use supernatural causes to explain mental health. In addition, communities look to religion as a cure for mental health issues. While religious observance may be able provide contentment for those suffering, an over-reliance on it in place of psychiatric health could actually hinder progress.

Poverty Impacting Mental Health

Sehat Kahani also suggests that as poverty is a prominent issue within Pakistan, mental health support is a “luxury” for many people in the country. As a result, there is a growing inaccessibility to essential mental health support services for a majority of those with mental health disorders.

According to the International Journal of Emergency Mental Health and Human Resilience, there is no political or governmental policy regarding the problem of mental health in Pakistan. An absence of mental health practices within the routines and schedules of trainee doctors bolsters this lack of awareness.

According to the World Bank, poverty in Pakistan could reach 37.2% in 2023. This equates to almost 3 million Pakistani people living in poverty. There is a significant cost to private mental health care in the country. Dr. Shoaib Ahmad, the psychiatric department head at Karachi Dow’s University of Health Sciences, notes that patients have to “pay Rs200,000 to Rs300,000 in advance to a well-known therapist in advance to book an appointment.” For those living in impoverished conditions, this could be massively unaffordable.

Making a Change

The COSARAF foundation, alongside the CareTech foundation and the British Asian Trust, has partnered to invest £1 million to deliver changes in mental health wellbeing and provisions in Pakistan. The program will cover access to clinical mental health services as well as access to mental health support for individuals suffering from mental health issues within their own communities as well as an increase in overall awareness.

According to COSARAF, the program aims to “enable 100,000 people with mental health problems to access mental health support within their communities, provide access to clinical mental health services for 10,000 people and ensure that 500,000 people have increased awareness of issues relating to mental health, leading to reduced stigma around mental health.”

Looking Ahead

In response to the urgent need for improved mental health support in Pakistan, the COSARAF Foundation, the CareTech Foundation and the British Asian Trust have joined forces to implement initiatives that aim to make a positive change. Through increased access to clinical services, community-based support and heightened awareness, these initiatives aim to benefit thousands of individuals and contribute to reducing the stigma surrounding mental health. This collaborative effort holds the potential to create a brighter future for mental health in Pakistan.

– Ibrahim Azam
Photo: Unsplash

Maternal health in Pakistan has been a major issue over the years and has consistently shown many negative outcomes. This suggests that the women of Pakistan are not receiving the attention they require in their months of pregnancy. In 2020, the maternal mortality rate was 154 per 100,000 live births. And as of 2021, Pakistan’s infant mortality rate was 53 per 1,000 live births. The prevalence of low birth control, alongside a disorganized medical system, creates an atmosphere of risk and danger for expectant mothers.

Norway-Pakistan Partnership Initiative

Established in 2009 by U.N. agencies UNICEF, WHO and the United Nations Population Fund (UNFPA), the Norway-Pakistan Partnership Initiative (NPPI) aimed to reduce barriers that prevented pregnant women from accessing safe and reliable medical care in the province of Sindh. This involved strengthening health care systems through better support and using flexible financial approaches to improve the provision of maternal health care.

The project ended in 2013 with underwhelming research that assessed the impact of the NPPI. The overarching narrative was that the project had an insignificant effect on the participating communities. Although there have been some improvements, the rate at which pregnant women are accessing health care has only increased marginally.Despite this, reports indicated the following successes from the NPPI:

• Support for female health workers: The NPPI created functional community networks in 80% of the participating villages.
• Creation of an incentive scheme: The rollout of a successful voucher initiative saw 35% of pregnant women using the vouchers to seek medical care.
• Provision of support and outreach services: All female and community health workers received full training in newborn, infant and child health care.

A Decade Later

A decade after the end of the NPPI, checking back in to assess how maternal health in Pakistan has weathered the recent years, especially through the pandemic, reveals the following. Approximately 20% of all deaths among women of childbearing age are due to pregnancy complications, specifically hemorrhaging and sepsis. The COVID-19 pandemic has also profoundly impacted maternal health in Pakistan. With a sudden lack of available hospital beds, many women found themselves unable to access the medical attention they required as they carried to term. Delays in emergency services and poor organization in facilities have also directly impacted increased maternal and infant mortality.

Rurality and Education

An intersection between education and location has also been identified. In a 2019 study, researchers with the National Institute of Population Studies linked low education levels and rural localities in Pakistan with poorer maternal health outcomes. Maternal mortality was 26% higher in rural areas compared to urban counterparts. Additionally, significantly more women in rural areas are less educated than women in urban spheres. About 96% of educated women sought medical care during their pregnancy compared to 50% of uneducated women. These recent maternal health indicators and contributing factors suggest that education and rural access to medical facilities need to be targeted in future interventions to improve maternal health in Pakistan.

National Committee for Maternal and Neonatal Health

Established in 1994, the National Committee for Maternal and Neonatal Health (NCMNH) is dedicated to reducing the high maternal mortality rate in Pakistan. Its goal is to advise policymakers on effective policies that reduce and prevent maternal and neonatal deaths. So far, the committee has:

• Assisted the Ministry of Health in the development of the Maternal Health Section policy in 2001.
• Introduced WHO technologies, including post-abortion care in Pakistan.
• Established a skills lab, or a medical facility that conducts skill training, equipped with modern medical technology to complement the abilities of Pakistan’s medical professionals.

Bakhabar Noujawan Course

Currently, the NCMNH is developing a course to promote and educate young girls on reproductive health. This is a crucial factor that directly correlates with poor maternal health indicators. Aimed at women aged 15 to 29, the Bakhabar Noujawan course involves educating students about how to maintain and navigate reproductive health. The vision is that participating in this course will contribute to these women’s credit in their educational institutions while encouraging them to become more involved in their own health.

Looking Ahead

Despite the persisting challenges, efforts to improve maternal health in Pakistan have shown some promising developments. Initiatives like the Norway-Pakistan Partnership Initiative have supported female health workers, implemented successful voucher systems and provided comprehensive training. Also, the establishment of the National Committee for Maternal and Neonatal Health and the upcoming Bakhabar Noujawan course demonstrate an ongoing commitment to reducing maternal mortality and improving reproductive health education. Overall, these initiatives hold the potential to make a positive impact on the well-being of women in Pakistan and pave the way for a healthier future.

– Ariana Mortazavi
Photo: Flickr

Pakistan, a country in South Asia, is part of the Indian subcontinent bordering India on the east side and Afghanistan on the west. Although Pakistan’s economy is growing at an exceptional rate, its population has not reaped much of the benefits of this economic growth. There are many factors to this uneven wealth distribution and high poverty rate. In order to understand the wealth gap and poverty situation, here are six facts about poverty in Pakistan.

6 Facts About Poverty in Pakistan

1. The percentage of people in poverty in Pakistan in 2018 was 31.3%. According to the Business Recorder, the percentage of people in poverty in Pakistan could jump to 40%. By numerical standards, the poverty population will increase from 69 million to 87 million by the end of 2020. A value of 87 million is quite high in proportion to the country’s population of 212.2 million.
2. In 2018, Pakistan suffered a macroeconomic crisis. The government had accrued a budget deficit of $18 billion by the end of 2018. As a result, this forced the government to limit its spending. The economic growth slowed significantly. The recent COVID-19 pandemic has further brought the economy to an almost standstill. This has forced the government of Pakistan to cut down on its spending. When a country’s economy shrinks, the government stops funding many welfare programs. Consequently, the people at the margins of poverty suffer, further increasing poverty in Pakistan.
3. The COVID-19 pandemic has disproportionately affected the poverty-stricken citizens in Pakistan. These people consist of women, children, the elderly and people with disabilities. They are far more likely to suffer from malnutrition and their health may be weak. Thus, the virus tends to spread in poverty-stricken communities faster. The U.N. has recommended that Pakistan should increase its essential health services to people in poverty because of their weaker health status. In order to improve the economy, the U.N. also recommended that Pakistan should pass fiscal and financial stimuli. This can alleviate the debt and help many people in Pakistan financially. As a result, it may prevent the poverty rate from increasing or at least slow down the growth rate.
4. The United Nations Development Programme (UNDP) has established a COVID-19 secretariat at Pakistan’s planning commission. Its mission is to help stabilize the economic crisis occurring in Pakistan. The planning commission will also provide social programs to help the citizens who COVID-19 affected. However, its main focus is on providing social programs to residents living in poverty. The planning commission has succeeded in assisting Pakistan in its crisis management amid this pandemic.
5. Many children in Pakistan take up low-paying jobs in order to provide for themselves and their families. Many of these jobs are hazardous and dangerous. However, the children have no choice but to do them in order to receive any form of payment to feed themselves and their families. By 2018, Pakistan has made efforts to limit child labor and indentured servitude. Citizens still largely ignore and dismiss many of these laws, mainly due to children who willingly work in order to alleviate their families from poverty and hunger. However, Pakistan has made moderate advancements in diminishing and banning hazardous forms of child labor for children.
6. There is some good news in Pakistan’s fight against poverty. In 2015, Pakistan’s then prime minister Nawaz Sharif launched a health care scheme for the poor. The scheme has largely been a success since it expanded. In 2019, the current prime minister of Pakistan Imran Khan stated that he envisions a future for Pakistan where it can be a welfare state similar to the Scandinavian countries. So far, his administration is working on furthering this vision by raising income taxes on the wealthy and instigating more welfare programs. In addition, the government is doing its best to continue fighting poverty and providing social programs and health care to the poor amid the COVID-19 pandemic. The government will provide financial stimulus checks to its citizens ($70, or 11,717.89 Rupees). This program is called the “Ehsass Programme.” So far, this modest social welfare program has helped many Pakistani families financially. Additionally, the government is planning more programs in order to help its citizens amid the pandemic.

Concluding Thoughts

Pakistan’s poverty rate has decreased in recent years. However, the country’s current economic crisis, mixed with its fight against the COVID-19 pandemic, has put many Pakistani citizens out of jobs. This has further increased the poverty rate. The government of Pakistan is doing its best to fight both the COVID-19 pandemic and poverty in Pakistan. So far, the government has provided many social welfare programs at a scale that they have never done in history until now. Much more is necessary for the country to defeat poverty.

– Sadat Tashin
Photo: Flickr

Founded during the partition of India and located in South Asia, the Islamic Republic of Pakistan has the fifth-largest population in the world, with a population of more than 220 million. Cornerstones of Pakistani culture include incredible cuisine, iconic architecture and the popular game of cricket. However, like so many nations across the globe, Pakistani citizens must confront the harsh reality of extreme poverty. Here are ten facts about poverty in Pakistan.

10 Facts About Poverty in Pakistan

1. As of 2015, approximately 24% of Pakistani citizens lived below the national poverty line. This is more than twice the global percentage of people living in extreme poverty and amounts to more than 50 million people in Pakistan living in poverty.
2. Nearly 4% of Pakistan lives below $1.90 a day. As a result, nearly 9 million Pakistani citizens live in extreme poverty. This puts them below the Purchasing Power Parity (PPP) outlined in the U.N.’s Sustainable Development Goals (SDGs).
3. As of 2018, almost 7% of babies died before their fifth birthday. Life in poverty makes it extremely difficult to have access to proper housing, nutrition and medication.
4. The adult illiteracy rate in Pakistan is around 35%. Unequal access to proper and requisite education is inseparable from the reality of poverty.
5. Pakistan also faces a severe overpopulation problem. While the nation has the fifth-highest population in the world, it takes up less than a percent of this planet’s surface. Overpopulation and unequal access to education amplify problems caused by poverty.
6. Pakistan has a Human Development Index (HDI) of 0.560. The nation ranks 152nd out of 189 countries and territories. In the last three decades, Pakistan’s HDI has increased by nearly 40%.
7. Approximately 38% of Pakistani citizens are living in multidimensional poverty. Another 13% are vulnerable to this status. From 2004 to 2015, the multidimensional poverty rate has dropped from 55% to its current rate at 38%.
8. Poverty levels in Pakistan fluctuate throughout regions. In urban areas, poverty rates are around 9%, while in rural areas poverty rates rise all the way to 55%. One can see this disparity among provinces in the Republic as well.
9. About 25 million Pakistani families rely on wage workers. They have unfortunately become vulnerable due to the current COVID-19 pandemic. The Prime Minister has said that the pandemic is harder to deal with in countries facing the challenges of poverty.
10. The Pakistani government hopes to receive $5 billion in financial aid. This would come from outside sources and countries, along with the $1.3 billion it has already received from the IMF.

With continued efforts, poverty in Pakistan will hopefully decrease. The Citizens Foundation is one of many nonprofits that have been working to improve the quality of life for underprivileged Pakistani citizens. In 25 years, the Citizens Foundation has created 1,652 schools, providing proper education to more than 266,000 children who would not have had it otherwise. These schools also combat gender inequality in Pakistan, as they have all-female faculty and a 50% student gender ratio.

However, there is still work that is necessary to combat poverty in Pakistan. In Pakistan, gender disparities compound the unjust realities of poverty. Poverty rates in rural areas are more than five times higher than those in urban areas. Yet, similar to global trends, the amount of people living in poverty in Pakistan has clearly been decreasing in recent years. This is in large part due to individuals and organizations dedicating themselves to the cause of ending poverty. These continued efforts will help fight and eventually end poverty in Pakistan, and in turn, will make the Republic a more just and equal country for all those who call it home.

– Ehran Hodes
Photo: Flickr

Pakistan may have South Asia’s second-largest economy but it fares considerably worse than its neighbors when it comes to tackling hunger. Here are the top 10 facts about hunger in Pakistan.

Top 10 Facts about Hunger in Pakistan

1. Out of the total of 113 countries in the Global Food Security Index of 2016, Pakistan ranked 78th. The country scored 47.8, lagging behind longtime rival India and several other African countries.
2. According to the World Food Programme, 43 percent of Pakistan’s population faces food insecurity. Of this number, 18 percent of people in Pakistan severely lack access to food. This is linked to the fact that most of these people are heavily dependent on agriculture for a living.
3. Pakistan has one of the most malnourished and poorest regions in the world.which is Tharparkarregion in the Sindh province. Most of the region is desert land, with the majority of inhabitants depending on seasonal rainfall.
4. In the province of Sindh, 50 percent of children below 5 years old are stunted and 19 percent are severely malnourished. The region’s intense food insecurity stems from lack of investment in the infrastructure and population coupled with the flood that hit Sindh especially hard.
5. Pakistan ranked 106 out of 119 countries on the Global Hunger Index (GHI) with a score of 32.6, second only to Afghanistan in the region. The GHI is calculated according to four primary indicators: the proportion of the malnourished population, the frequency of child mortality, stuntedness of children and height to weight ratios of children.
6. Agriculture in Pakistan is riddled with corruption. In September 2009, the government announced the “Benazir Tractor Scheme”. It was presented to the masses as a random computerized lottery that would award tractors to randomly selected small-scale farmers across the country. However, it turned out that the winners had suspiciously already had large acres of land and some were even related to the parliamentarians.
7. Most of the budget is spent on issues of national security, rather than fighting hunger. Islamabad devoted $2 billion to security expenditures at a time when many poor Pakistanis were suffering the effects of sky-high inflation.
8. The number of malnourished Pakistanis has increased since the early 1990s from 24 million to 45 million in 2008. Most of the population is suspected to be extremely lacking both Vitamin A and Vitamin D consumption due to fish, egg yolk and cod liver being in short supply.
9. Pakistan has also been heavily dependent on the International Monetary Fund (IMF) and the World Bank, that have demanded from the country to cut back on public spending in the 1980s, which affected food subsidies.
10. There is an organization called Action Against Hunger that is working to fight food insecurity in Pakistan by addressing malnutrition and mitigating the effects and causes of hunger. They ran the Woman and Infant/Child Improved Nutrition in Sindh in 2017 as well as operating outpatient therapeutic programs in Daud, Khairpir, Matiari and Ghotki districts.

Pakistan does have a long way to go before fully addressing the extent of the problem but it certainly has the impetus and ability to change the way it prioritizes food insecurity and hunger.

– Maneesha Khalae
Photo: Flickr

Karachi is Pakistan’s largest city and is the capital of the Sindh province located in southern Pakistan. Karachi is home to a major seaport on the shores of the Arabian Sea as well as massive commercial and industrial infrastructure. Increased development of air travel, in addition to the foreign traffic maintained by the commercial and financial industries, has made this city important to the overall economy in Pakistan. Regardless of these achievements, the city still faces poverty, which these facts about poverty in Karachi will illuminate.

Facts About Poverty in Karachi

1. District governments within the city of Karachi do not have the power to increase taxes, which could be used to rectify local issues there. The Provincial Administration maintains the power instead of the taxpayers or the constituent electorate, which creates a democratic deficit within the metropolis.
2. In regards to such a deficit, there is a notable underperformance in urban development. Foreign business is the largest part of the industry and economy in Karachi. Because of this, the Provincial Administration puts an emphasis on financial districts and expensive urban building for such purposes.
3. A majority of tax revenue goes towards the seaports, airports, franchise business, stock brokers and telecommunication systems. The emphasis on finance and business distracts from the local problems. Most of the citizens live with social injustices daily, but their tax money is not being used to solve these problems.
4. In Karachi, residents suffer from congested roads and poorly planned yet expensive public transportation systems. There is effectively no low-cost housing in the city, which has led to the rise of slums. There is also a shortage of water, leaving many without access to water at all, or at least water that is safe to drink.
5. Many farmers located in the rural parts of the metropolis are deprived of water from irrigation systems. A large percentage of farmers have turned to using water that is mixed with sewage lines in an effort to grow crops. However, the produce that is harvested is often polluted and unsafe for human consumption, an unfortunate truth in the facts about poverty in Karachi.
6. Policies geared towards the rapid industrialization of Pakistan had aimed to bring the country to its “take-off” stage. These policies, in retrospect, have actually made the rural lower class even poorer. More than ₨. 1 trillion (about $14.6 billion) was spent oninfrastructure with the intention of lowering the local poverty rates in Karachi. Due to poor governance and irresponsible planning, much of this money was wasted and inflicted more economic harm on the lower-class citizens.
7. There is a lack of access to social services and resources in poor households. Fifty percent of the rural population has been left without land, while approximately 75 percent of urban dwellers work in the informal economy.
8. There are now more than 600 slum areas in Karachi. These slums are notable for hosting criminal activity as well as hiding criminals. In 2014, following the aerial firing on the Karachi airport, the suspects were found hiding in a local slum. Slums like Afghan Basti, Manghopir, Pehlwan Basti and Sohrab Goth are some of the better-known slums hosting criminal activity within Karachi.
9. According to Inspector General Mushtaq Mehar, approximately 65 percent of the Karachi population lives in a slum. Residents of the slums are typically issued official identity papers, yet it remains difficult to verify and monitor them as many give false information. This makes it challenging to track down the criminals who may be hiding there.
10. Despite these circ*mstances, there are many locals who are fighting back against poverty. UNDP’s Youth Employment Project provides employment opportunities as well as job training in the textile/garment industry. Around 30 percent of Karachi’s population is made up of youths aged 15-29. There are more than 5,000 students enrolled in this program. Initiatives such as this help those who cannot afford schooling to receive a valuable education and eventually earn a dependable source of income.

In his paper “Genesis of Urban Poverty”, Tasneem Siddiqui writes: “Poverty was not just about money. It is about access to power. It is deprivation not only in economic terms, but also at the social and political level.” The people of Karachi face this lack of access on a daily basis, one of the driving facts about poverty in Karachi.

The emphasis on business and finance in the city in order to better benefit Pakistan’s foreign affairs has harmed the local community. In doing so, there is a large gap in the socioeconomic ranks. Initiatives like UNDP’s program work to make the best of the given situation; however, until the governing authorities rectify the social and physical injustices, the citizens of Karachi will continue to suffer from this gap.

– Emma Fellows
Photo: Flickr

It was recently revealed in the 2017-2018 Economic Survey of Pakistan that the percentage of the Pakistani population living below the poverty line (on $1.90 per day or less) has dropped to 24.3 percent. This indicates that the poverty rate has been effectively cut in half over just the past ten years, a remarkable feat for the developing nation. These numbers are not just the result of a few years of good luck. The International Monetary Fund says that Pakistan’s fiscal outlook is “broadly favorable” and that economic growth is likely to continue into the coming years.

How Politics Help the Poverty Decline in Paksitan

The report suggests a variety of reasons for the poverty decline in Pakistan, but one of the primary factors is a more stable political environment. Beginning in 1999, Pakistan was under the rule of Pervez Musharraf. Musharraf assumed the roles of both president and head of the army and imposed harsh military rule over the country. Pakistan fell into political turmoil as Musharraf continued to grant himself more power over the years, repeatedly suspending the constitution and dissolving parliament in order to get his way.

In 2008 the Pakistani People’s Party (PPP) finally forced Musharraf out of power and replaced him with Asif Ali Zardari, a civilian president who put an end military rule. It was at this point that Freedom House changed Pakistan’s ranking from “Not Free” to “Partly Free.” In 2013, there was a peaceful transition of power between two democratic governments for the first time in Pakistani history and the country has maintained its “Partly Free” status to this day.

The power shift in the government has contributed to the poverty decline in Pakistan because when a country is politically stable, investors are more likely to make deals there because there is a decreased risk of the laws changing and of their contracts being altered or nullified. With this in mind, it is easy to see how Pakistan’s democratic process has led to a higher level of confidence in the private sector.

Government Programs for Economic Improvement

Another contributor to the poverty decline in Pakistan has been the implementation of the Social Safety Net Programme (SSNP). This is an umbrella program which encompasses many different welfare initiatives in Pakistan, all of which have the aim of providing financial assistance to those living in poverty and helping them out of the crisis. The largest of these is the Benazir Income Support Programme (BISP). The BISP serves 5.29 million beneficiaries and has reduced the poverty rate by seven percent on its own.

An additional reason for the poverty decline in Pakistan is the government’s shift in attitude toward the agriculture sector. Agriculture is crucial to the Pakistani economy as it makes up for 18.9 percent of the GDP and 42.3 percent of the workforce. In recent years, the government has implemented policies that focus more on supporting smaller farms, such as increasing agricultural credit disbursem*nts and providing crop insurance to farmers. The government is also investing in new technologies to help modernize the industry, like new irrigation systems and drought-resistant seeds.

Looking Toward the Future

Clearly, the poverty decline in Pakistan is no accident. It took years of hard work and policy reformation by the Pakistani government to improve the welfare of its people. But Pakistan’s incredible achievement over the past decade is a sign of great optimism for developing countries around the world, a sign that real change is possible in even the direst of situations.

– Maddi Roy
Photo: Google

Foreign aid is crucial to the well-being ofthe 4,400,000 orphans in Pakistan who do not have the support of immediate family to assist them with their everyday needs. From a young age, children in Pakistan face multiple challenges from an infant mortality rate of 8.55 percent to lack of everyday resources.

There are several factors that contribute to the issues that orphans in Pakistan face including limited access to resources such as food, education and financial stability. According to SOS Children’s Villages, approximately twenty-five percent of the 193.2 million people living in Pakistan do not meet the poverty line.

However, activists looking to reduce the effects of poverty in Pakistan — as well as assist children with meeting their everyday needs — have organized ways to assist children to locate support.

Foreign Aid

The U.S. Department of State provides information for those who seek to adopt or who plan to travel before finalizing their plans for adoption, and assists orphans in Pakistan as well as children looking for homes across the world. One organization, SOS Children’s Villages, allows people who are interested in sponsoring children to make a monthly donation.

The organization works to provide healthcare, counseling services and education to children who would otherwise have limited access these resources.

Role of USAID

USAID plays an influential role as well, working to create jobs and to support the agricultural industry in Pakistan through the introduction of new crops. According to USAID, the organization has been able to assist more than 1 million households through its agricultural aid efforts.

According to USAID, approximately forty percent of Pakistan’s working population is employed in agricultural industries. By working to support such endeavors, USAID not only helps create new jobs but it is also aids in cultivating industries to boost the economic health of the country overall.

Activism in All Forms

Among the top contributors to foreign aid efforts in Pakistan are the U.S. Government Department of Defense, the World Food Program, the International Rescue Committee and USAID. Although activists from these organizations have different specialties, different aid efforts are needed in this area where orphans do not have access to adequate education, defense or food resources.

Although these organizations support orphans in Pakistan and children in need by providing aid to Pakistan and, in many cases, providing resources directly to children, those who do not have access to the resources from foreign aid are forced to find alternate ways to support themselves.

Efforts to Aid Orphans in Pakistan

This issue has been going on for many years, and one video from the Associated Press shows some of the kinds of work children have had to do in the past to support themselves.

As Pakistan and the children living there continue to receive aid, however, the effects of poverty will continue to decrease. Aid organizations that have already made a difference will continue working to reduce the struggles orphans face in their everyday routines.

– Gabriella Evans

Photo: Flickr