Poverty in Pakistan: A Sustainable Development Challenge

According to a recent World Bank report, the poverty headcount in Pakistan has risen to 44.7% based on the updated poverty line for lower-income countries, pushing approximately 108 million people below the poverty threshold. Despite decades of economic reforms and policy efforts, poverty remains a critical challenge. This report emphasizes the importance of aligning poverty alleviation strategies with the Sustainable Development Goals (SDGs) to achieve meaningful and inclusive progress.

Key Drivers of Poverty Alleviation Aligned with SDGs

1. Education and Social Mobility (SDG 4: Quality Education)

Education is identified as one of the most influential factors in reducing poverty and improving welfare. It enhances earning potential, facilitates access to better employment opportunities, and strengthens social mobility.

2. Promotion of Self-Employment and Entrepreneurship (SDG 8: Decent Work and Economic Growth)

Households engaged in self-owned businesses or small enterprises experience significant welfare improvements. Promoting entrepreneurship and creating an enabling environment for small businesses are essential for poverty reduction.

3. Access to Basic Services (SDG 3: Good Health and Well-being; SDG 6: Clean Water and Sanitation; SDG 7: Affordable and Clean Energy; SDG 11: Sustainable Cities and Communities)

• Access to healthcare, especially affordable services for women and children, is crucial.
• Reliable utilities such as electricity and clean water, along with adequate housing, contribute to higher welfare levels.

4. Social Safety Nets (SDG 1: No Poverty; SDG 10: Reduced Inequalities)

Government cash transfer programs, such as the Benazir Income Support Programme (BISP), provide vital support to vulnerable populations, particularly in rural areas, helping them withstand economic shocks.

5. Employment Quality (SDG 8: Decent Work and Economic Growth; SDG 5: Gender Equality)

Contrary to expectations, paid employment often fails to improve welfare due to low wages, job insecurity, and wage inequality, especially in rural and low-skilled sectors. This underscores the need for fair pay and decent working conditions.

6. Asset Ownership and Land Distribution (SDG 1: No Poverty; SDG 2: Zero Hunger)

Unequal land distribution limits the effectiveness of agricultural land ownership in improving welfare for poor households, highlighting structural inequalities in asset ownership.

7. Gender Disparities (SDG 5: Gender Equality)

• Female-headed households experience lower welfare levels than male-headed ones.
• Women face limited access to economic opportunities, lower wages, and fewer educational chances.

Urban vs. Rural Poverty Dynamics

The report identifies significant differences between urban and rural poverty dynamics, necessitating tailored policy interventions:

1. Urban Areas: Education, self-employment, and access to health and utilities are the strongest contributors to welfare improvement.
2. Rural Areas: Social safety nets and access to basic health services are critical, while land ownership and regular paid jobs offer limited benefits.

This indicates that one-size-fits-all solutions are ineffective, and region-specific strategies aligned with SDGs are essential for combating poverty effectively.

Policy Recommendations for Sustainable Poverty Reduction

• Focus on equitable income distribution and improved wages to reduce poverty (SDG 10: Reduced Inequalities).
• Ensure affordable access to quality education, healthcare, and housing (SDG 3, 4, 11).
• Promote self-employment and support small businesses to foster economic growth (SDG 8).
• Strengthen social safety nets, particularly targeting women and rural households (SDG 1, 5).
• Increase women’s participation in the workforce through targeted skill development in technology and vocational sectors (SDG 5, 8).
• Design differentiated policies for urban and rural areas to address their unique challenges effectively.

Conclusion

Addressing poverty in Pakistan requires a people-centered, inclusive development model that prioritizes the Sustainable Development Goals. Economic growth alone is insufficient; a fairer distribution of resources, improved social services, and empowerment of marginalized groups, especially women, are vital. By aligning poverty alleviation efforts with the SDGs, Pakistan can build a more prosperous and equitable society for all.

1. Sustainable Development Goals (SDGs) Addressed in the Article

1. SDG 1: No Poverty – The article focuses extensively on poverty levels in Pakistan, highlighting the rise in poverty headcount and the need for poverty alleviation strategies.
2. SDG 3: Good Health and Well-being – Access to affordable healthcare, especially for children and women, is emphasized as crucial for welfare improvement.
3. SDG 4: Quality Education – Education is identified as a key contributor to poverty alleviation and social mobility.
4. SDG 5: Gender Equality – The article discusses gender disparities, particularly the lower welfare levels of female-headed households and limited economic opportunities for women.
5. SDG 8: Decent Work and Economic Growth – The importance of fair wages, decent working conditions, self-employment, and entrepreneurship is highlighted.
6. SDG 6: Clean Water and Sanitation – Access to clean water and utilities is linked to higher welfare levels.
7. SDG 11: Sustainable Cities and Communities – The article differentiates between urban and rural needs, emphasizing region-specific strategies for poverty reduction.

2. Specific Targets Under Those SDGs Identified in the Article

1. SDG 1: No Poverty
   • Target 1.2: Reduce at least by half the proportion of men, women and children living in poverty in all its dimensions.
   • Target 1.3: Implement nationally appropriate social protection systems and measures for all.
2. SDG 3: Good Health and Well-being
   • Target 3.8: Achieve universal health coverage, including financial risk protection and access to quality essential healthcare services.
3. SDG 4: Quality Education
   • Target 4.1: Ensure that all girls and boys complete free, equitable and quality primary and secondary education.
   • Target 4.3: Ensure equal access for all women and men to affordable and quality technical, vocational and tertiary education.
4. SDG 5: Gender Equality
   • Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making.
   • Target 5.a: Undertake reforms to give women equal rights to economic resources.
5. SDG 8: Decent Work and Economic Growth
   • Target 8.3: Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship and innovation.
   • Target 8.5: Achieve full and productive employment and decent work for all women and men.
6. SDG 6: Clean Water and Sanitation
   • Target 6.1: Achieve universal and equitable access to safe and affordable drinking water.
7. SDG 11: Sustainable Cities and Communities
   • Target 11.1: Ensure access for all to adequate, safe and affordable housing and basic services.

3. Indicators Mentioned or Implied in the Article to Measure Progress

1. Poverty Headcount Ratio – The article cites the poverty headcount rising to 44.7%, indicating the use of poverty incidence as a key indicator.
2. Access to Education – Indicators such as enrollment rates, completion rates, and access to vocational training are implied through the emphasis on education’s role in welfare.
3. Employment Quality – Indicators related to wage levels, job security, and the proportion of workers in decent employment are implied by the discussion on paid employment’s impact on welfare.
4. Access to Healthcare – Coverage of affordable healthcare services, especially for women and children, is implied as an indicator.
5. Social Protection Coverage – The reach and effectiveness of cash transfer programs like the Benazir Income Support Programme serve as indicators of social safety net performance.
6. Gender Disparity Metrics – Differences in welfare levels between female-headed and male-headed households imply the use of gender-disaggregated data on income, employment, and education.
7. Access to Basic Services – Indicators measuring access to electricity, clean water, and adequate housing are implied.
8. Entrepreneurship and Self-Employment Rates – The role of self-employment in welfare improvement suggests indicators tracking small business ownership and entrepreneurship prevalence.

4. Table: SDGs, Targets and Indicators

Source: tribune.com.pk