Pakistan’s Poverty Crisis Deepens Amid Economic Complacency: A Wake-Up Call for Urgent Policy Reform

Editorial

Despite grand rhetoric about economic recovery and fiscal stabilization, poverty alleviation in Pakistan remains disturbingly absent from the government’s list of priorities. While regional neighbors like India, Bangladesh, and Vietnam continue to lift millions out of poverty through sustained reforms and high growth, Pakistan lags dangerously behind—trapped in a cycle of economic stagnation, climate vulnerability, and chronic policy inaction.

Let’s be clear: poverty alleviation isn’t just a development slogan. It’s the backbone of national stability and global relevance. Yet, while IMF projections slash Pakistan’s growth to a dismal 2.6%, and the World Bank warns that nearly 2 million more Pakistanis will fall below the poverty line this year, the state continues to celebrate fiscal “stability” and rising reserves—completely detached from the ground realities of over 42% of its population living in poverty.

Compare this to India, where poverty has dropped below 5% in 2024, or Bangladesh, which has moved over 33 million people above the poverty line since 2000, or Vietnam, where the rate stands at just 3.4%. What do they have in common? Sustained GDP growth above 6%, strong governance, targeted economic reforms, and the political will to put people first.

Pakistan, in contrast, suffers from structural flaws—policy paralysis, underutilization of development funds, weak climate resilience, and a near-total absence of targeted poverty reduction programs. The country reportedly loses over $2 billion annually due to climate disasters, while another $2 billion in foreign aid sits idle, unspent due to bureaucratic inefficiencies.

To make matters worse, food insecurity is rising sharply. According to the World Bank, nearly 10 million Pakistanis could face acute hunger this fiscal year. And yet, poverty remains a footnote in the economic agenda.

If Pakistan is serious about progress, poverty alleviation must become a national emergency—not just an NGO talking point. This isn’t optional—it’s existential.

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