ISLAMABAD – Pakistan’s poverty rate has increased to 28.9%, meaning nearly 29 out of every 100 Pakistanis are living below the poverty line, according to the Economic Survey 2025-26.
The survey states that poverty in Pakistan is measured based on an individual’s ability to meet minimum essential expenditures. Under the official benchmark, a person earning at least Rs8,483 per month is not classified as poor, an amount equivalent to approximately $30.5.
According to the report, poverty remains significantly higher in rural areas, where the poverty rate stands at 36.2%, compared to 17.4% in urban centres.
Among the provinces, Balochistan recorded the highest poverty rate at 47%, followed by Khyber Pakhtunkhwa at 35.3% and Sindh at 32.6%. Punjab reported the lowest poverty rate at 23.3%.
The survey noted that poverty has been rising again since fiscal year 2018-19. At that time, the poverty rate stood at 21.9%, but it has now climbed to 28.9%. The report attributed the increase largely to inflation and economic pressures that have pushed millions of people below the poverty line.
The Economic Survey also highlighted growing income inequality across the country. The inequality index increased from 28.4% to 32.7%. Sindh recorded the highest level of inequality at 35.9%, followed by Punjab at 32%, Khyber Pakhtunkhwa at 29.4%, and Balochistan at 26.6%.
According to the report, Pakistan’s labour force consists of 83.1 million people, of whom 77.2 million are employed, while 5.9 million remain unemployed.
The survey further revealed that 762,499 Pakistanis went abroad for employment opportunities during 2025, reflecting increasing demand for overseas jobs and continued pressure on the domestic labour market.
