The ICMA Research and Publications Department has released a comprehensive paper in the current issue of its official flagship journal, Chartered Management Accountant, which examines critical human, gender, poverty, prosperity, and social progress indicators across SAARC countries.
The paper references Dr. Mahbub ul Haq, a distinguished Pakistani economist and founder of the Human Development Reports, who asserted that “the real wealth of a nation is its people, and the purpose of development is to create an enabling environment for people to enjoy long, healthy, and creative lives.” This perspective serves as a guiding principle for addressing the ongoing challenges faced by Pakistan, which persist even during times of economic growth.
The findings of the paper present a sobering picture of Pakistan’s position on several key indicators. The Human Development Index (HDI) for the country stands at a mere 0.540, ranking it 164th globally and falling short of the South Asian average of 0.641. The data highlights critical issues, including low educational attainment, limited access to healthcare, and alarmingly high poverty levels, with over 25 million children aged 5 to 16 currently out of school.
In terms of gender equality, the Gender Development Index (GDI) indicates only minimal improvement, showing a score of 0.834. This underscores the persistent barriers that women face in education, healthcare, and economic opportunities. Additionally, the Gender Inequality Index (GII) has seen a slight decrease from 0.527 to 0.522, signaling ongoing gender disparities in these essential areas. The findings are further reinforced by the Gender Social Norms Index (GSNI), which, with a staggering score of 99.89%, reveals deeply entrenched biases that significantly hinder women’s opportunities in society.
The paper also delves into the Multidimensional Poverty Index (MPI), where Pakistan’s score of 0.198 reflects a critical need for effective poverty alleviation policies. When considering environmental factors, the Planetary Pressures-adjusted HDI (PHDI) stands at 0.528, placing Pakistan behind other South Asian nations and indicating an urgent need for sustainable development strategies. Furthermore, the Social Progress Index (SPI) has declined to 48.87, illustrating a lack of progress in key areas such as healthcare, education, and overall well-being.
To address these pressing challenges and foster sustainable economic growth, the paper outlines several policy recommendations. First and foremost, there is a need to invest heavily in human capital, prioritizing education and healthcare to enhance the quality of life for all citizens. Empowering women through educational reforms and increasing female participation in the workforce is crucial for achieving gender equality. Strengthening social capital by fostering community cooperation and trust is also essential for promoting inclusive development.
Moreover, targeted poverty alleviation strategies must be developed, especially focused on rural areas where the need is greatest. Finally, the importance of environmental sustainability cannot be overstated; policymakers must formulate robust strategies that balance economic growth with the preservation of our environment.
The journey toward achieving upper-middle-income status by 2047 is fraught with challenges, but the insights presented in this paper highlight the critical need for comprehensive investments in human and social capital. It emphasizes a holistic approach to development, prioritizing the well-being of all citizens as a pathway to sustainable progress.