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MPI 2025 identifies stark urban-rural poverty divide across Pakistan

September 25, 2025

Ayesha Saba

The latest findings from the Multidimensional Poverty Index 2025 highlight that while urban poverty has declined faster than rural poverty, regional disparities continue to persist in Pakistan.

According to the documents available with Wealth Pakistan, the updated MPI 2025, developed by using Pakistan Social and Living Standards Measurement (PSLM) and Household Income and Expenditure Survey (HIES) data with technical assistance from UNDP/OPHI, continues to serve as the principal tool for geographic and sectoral targeting. It identifies 20 poorest districts where interventions are most needed.

Building on these findings, the Executive Committee of the National Economic Council (ECNECC) approved the Rising Together Project on June 29, 2024 with a budget of Rs40 billion (Federal: Rs20 billion, Provincial: Rs20 billion). The initiative is designed to develop these poorest districts through comprehensive programs in maternal and child health, family planning, immunization, education, literacy and digital learning, skills development, employment, and entrepreneurship.

The earlier National MPI (2019–20) reported that approximately 38% of Pakistan’s population was living in multidimensional poverty, with the highest incidence in Balochistan, interior Sindh, ex-FATA, and southern Punjab. A fresh PSLM District Level Survey will be launched in 2026, based on Census 2023, to provide updated and more detailed poverty diagnostics, including demographics, education, disability, and migration-related variables.

Furthermore, findings from MPI (PSLM 2019–20) provide a comparative picture of the best and worst performing districts across provinces. In Punjab, the best districts are Chakwal, Gujrat, Rawalpindi, Attock, Sialkot, Jhelum, Lahore, Gujranwala, Narowal, Mandi Bahauddin, whereas Vehari, Bhakkar, Bahawalpur, Lodhran, Bahawalnagar, Rahim Yar Khan, Muzaffargarh, DG Khan, and Rajanpur remain among the least developed, according to the documents.

In Sindh, Karachi South, Korangi, Karachi Central, Karachi East, Karachi West, Karachi Malir, Hyderabad, Larkana, Naushahro Feroze, and Dadu perform best, whereas Ghotki, Kashmore, Shikarpur, Thatta, Tando Muhammad Khan, Mirpur Khas, Umerkot, Badin, Sujawal, and Tharparkar face severe deprivation.

In Khyber Pakhtunkhwa, Abbottabad, Haripur, Malakand, Mardan, Nowshera, Peshawar, Swabi, Karak, Chitral, and Mansehra show positive outcomes. In contrast, Upper Dir, Kurram, North Waziristan, Torghar, Shangla, South Waziristan, Mohmand, Bajaur, and Kohistan remain lagging.

In Balochistan, Kohlu, Gwadar, Pishin, Quetta, Kech/Turbat, Mastung, Lasbela, Nushki, Loralai, and Sibbi rank among the best-performing districts, while Harnai, Kachhi/Bolan, Ziarat, Sohbatpur, Shaheed Sikandarabad, Qilla Saifullah, Qilla Abdullah, Awaran, Sherani, and Khuzdar remain the worst affected.

Credit: INP-WealthPk