Pakistan escapes hunger crisis as FAO removes it from hotspots list

As of January 2025, the Food and Agriculture Organisation (FAO) has improved Pakistan's status by removing it from their hunger hotspots list, showcasing an advancement in food security measures within the country. However, despite this positive development, the FAO indicated that acute food insecurity persists at alarming levels in certain provinces, notably Sindh, Khyber Pakhtunkhwa, and Balochistan, where 20-25% of the population still faces significant food shortages. Recent reports from the World Bank have highlighted the complex economic challenges that persist in Pakistan. From April to June 2024, food price inflation seemed to ease for poor and vulnerable households that allot a large percentage of their budgets to basic nutrition, while energy inflation surged by 65%. This disparity emphasizes how rising costs in other essential areas, such as housing and transportation, remain a critical concern for these households. In rural areas, core inflation and other indirect taxes have exacerbated the burden on families who struggle to meet their basic needs. There has been a notable failure to improve educational outcomes, with over 35% of children out of school as of the 2023 census. The transition rates for primary-to-middle and middle-to-secondary schooling have seen only minor increases, suggesting that while some progress has been made, significant barriers continue to affect educational access. Furthermore, the dire air quality has led to approximately 14 lost school days in Punjab due to smog, demonstrating the broader impacts of environmental issues on children's education and wellbeing. On a socioeconomic level, real agricultural incomes increased by 5% in the fiscal year 2024, signaling some progress in the agricultural sector. Nonetheless, employment statistics reveal stagnation in sectors that typically provide jobs to the poor, such as construction and trade. Despite external remittances rising by 10%, only a fraction of the poorest households benefited, highlighting ongoing inequality and economic challenges. Under the Benazir Income Support Programme, social transfer spending has increased significantly, yet rising consumer prices continue to strain these support systems, causing concern about the sustainability of these initiatives amidst persistent inflation rates.