Rising Inflation Cuts Real Household Incomes, Pushes Poverty Higher in Pakistan

Adjusted for inflation, real household earnings in Pakistan dropped about 13% in the latest year. The poverty headcount rose from 21.9% to 28.9%, pushing an estimated additional 25 million people below the poverty line.

Analysts note that slower inflation has not yet compensated for the sharp decline in real wages, keeping food affordability out of reach for a large segment of society.