It is generally acknowledged that Pakistan’s social development indicators have failed to keep pace with the country’s economic development.

In 1999 the literacy rate in Pakistan was only 46.4 percent. In the same year the primary enrolment ratio was 56.4 per cent for males, 47.7 per cent for females.

Pakistan’s health-related indicators present a dismal picture. In 2001 Pakistan’s infant mortality rate stood at 84/1000 and under five mortality rates 109/1000. With a fertility rate of 3.8 and a life expectancy of 61 years, Pakistan reflected very underdeveloped, demographic characteristics. In 2001 Pakistan had a population of 136.3 millions of which 70.6 million were males and 65.7 million females giving an adverse gender imbalance of 108 males per 100 females. Even during periods of buoyant growth rates, the poor in Pakistan appear to have been left behind. In 1964, 40.2 per cent of the population was estimated to be poor.

This percentage dropped to 17.3 in 1987-88 but began to climb again. According to some estimates, by 2000-01 the poverty levels had reached the 1964 level of 40.1 percent. In terms of poverty ratio therefore, the country has arrived at where it was four decades back. Given higher population today, this implies a much larger number of poor today than in the past.

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In terms of inequality too, Pakistan’s record has been dismal. Over the four decades beginning 1963-64, the share of income of the lowest 20 per cent of the population increased marginally from 6.4 per cent to 6.6 per cent in 1998-99, while the share of the middle 60 per cent declined from 48.3 per cent to 45.6 per cent, while the share of the highest 20 per cent increased from 45.3 per cent to 47.8 per cent since the 1980s Pakistan’s unemployment rate has similarly shown an adverse trend.

The unemployment rate increased from an average of 3.5 per cent during 1981-90, to 5.7 per cent during 1991-2000 and further to 6.7 per cent in 2000-01. The structural adjustment programme beginning 1988-89 under the tutelage of the International Monetary Fund and the World Bank has required the slashing of the budget and current account deficit and a number of sectoral programmes. In the process, the poor have not only borne the major brunt of the adjustment, but also of the policy responses as may be seen from the poor social development indicators.