Pakistan Unemployment Rate Rises to 7.1% as Economic Pressure Builds
Pakistan’s unemployment rate continues to increase. The new Labour Force Survey shows the Pakistan unemployment rate reaching 7.1% in 2024-25. This marks a clear jump from 6.3% recorded in 2020-21. As a result, many households feel greater economic pressure.
The survey reports a rise in unemployed individuals from 4.51 million to 5.9 million over five years. This increase highlights the need for stronger job creation policies. In addition, it reflects the tough social and economic environment many people face today.
Regional Differences
The latest data also shows major differences across provinces. KP reports the highest unemployment rate at 9.6%. Punjab follows with 7.3%. However, Balochistan stands at 5.5%, and Sindh records 5.3%. These gaps suggest that each region experiences unique challenges.
Average monthly income grew from Rs24,028 in 2020-21 to Rs39,042 in 2024-25. This rise seems positive. However, increasing costs of living limit the benefit for many families. Therefore, people still struggle to meet basic needs.
Federal Minister for Planning Ahsan Iqbal launched the LFS 2024-25. He appeared with Secretary Planning Awais Manzur Sumra and Chief Statistician Dr Naeemuz Zafar. The minister explained that the IMF programme slowed demand and reduced economic activity. He added that two climate disasters also created setbacks. These shocks contributed to the higher unemployment rate.
He also said the IMF deal pushed prices upward. However, he noted that macroeconomic stability has now improved. Therefore, he expects economic recovery to create new jobs in the coming months.
The minister also criticised the previous administration led by Pakistan Tehreek e Insaf (PTI). He claimed that policies from 2018 to 2022 hurt economic progress. He argued that these decisions made later challenges harder to manage.
Pakistan now stands at a crucial moment. The rise in unemployment shows the need for action. Job creation, stronger support for workers and better planning can help ease pressure. In addition, regional strategies may support provinces facing deeper issues. Many people hope the improving economic environment will bring relief soon.
