UNDP report makes stunning claims over rising poverty in Pakistan
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In Pakistan, there is a growing concern about a significant number of people, around 20 million, going below the poverty line. Unemployment, leading to a 10% annual increase, is causing 3 million individuals to join the impoverished class each year. The middle class has reduced from 42% to 33%, according to reports by the United Nations.
UNDP report suggest that economic instability and a decrease in purchasing power are major contributors to this disparity. The middle class is shrinking, primarily focused on the welfare of others rather than themselves, while the elite class seeks to maintain dominance by purchasing the intellect of individuals from the middle and lower classes.
Economist Hafeez Pasha attributes economic instability and a decline in purchasing power as significant factors contributing to this issue. Excessive wealth accumulation is intensifying poverty, with 3 million people joining the impoverished class annually due to a 10% annual increase in unemployment. The rich spend 20-30% of their income on consumption, while the middle and poor classes allocate 70-80% for their expenses. Unfair wealth distribution is making the rich even richer.
If these trends persist, in a few years, an additional 20 million people may be forced to live below the poverty line.
