 "One kg flour for Rs 800, roti for Rs 25: How bad is inflation in Pakistan?")
Pakistan finds itself engulfed in a storm of economic woes, with its citizens bearing the brunt of the nation's worst financial crisis in recent memory. As the cost of living skyrockets, everyday essentials are slipping out of reach for many.
In the bustling streets of Karachi, a kilogramme of flour now commands a staggering 800 Pakistani rupees (PKR), a stark surge from its former price of 230 PKR. Even a single roti, a staple of Pakistani cuisine, has seen its cost rise to 25 PKR per piece. These alarming figures follow the Punjab government's decision to reduce the price of roti and naan to Rs 16 and Rs 20, respectively.
This surge in prices propelled inflation to a staggering 38 per cent in May 2023, marking the highest rate in South Asia. Food inflation, in particular, has surged to 48 per cent, a level not witnessed since 2016, as reported by Dawn.
The devaluation of the Pakistani currency, coupled with the elimination of subsidies under the International Monetary Fund (IMF) 's bailout package, has only served to exacerbate the plight of the common citizen. Basic necessities like food, shelter, healthcare, and education have become increasingly unattainable for many.
Pakistan tops Asia's cost of living chart
Adding to Pakistan's economic woes, a recent report by the Asian Development Bank (ADB) painted a bleak picture of the nation's economic outlook. With a staggering 25 per cent inflation rate, Pakistan now holds the unenviable title of the most expensive nation in Asia.
The report forecasted a meagre growth rate of 1.9 per cent for the current fiscal year, placing Pakistan fourth lowest in the region. Looking ahead, the outlook for the next fiscal year remains grim, with projections of a 15 per cent inflation rate, once again the highest among 46 countries surveyed, and a growth rate of 2.8 per cent, the fifth lowest for FY 2024-25.
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Struggle for fair wages in Pakistan
At the heart of Pakistan's economic conundrum lies the issue of fair wages. In a nation where discussions on fair remuneration are pivotal, the plight of workers underscores the need for dignified compensation for their toil.
Imagine a scenario where a worker's earnings barely cover rent, let alone other essentials, after enduring gruelling hours of labour. This grim reality shackles many in Pakistan's workforce in a perpetual cycle of poverty, hindering both personal advancement and national development, according to Dawn.
While concerns over increased business costs may arise with wage hikes, the benefits of fair remuneration far outweigh the expenses. Not only do adequately compensated workers exhibit enhanced productivity and efficiency, but they also bolster demand, fuelling economic growth.
A call for action
The provision of fair wages is not merely a moral obligation but a legal mandate enshrined in Pakistan's Constitution. Yet, this right eludes many, particularly those toiling in the informal sector or as daily wage labourers.
Initiatives aimed at implementing fair wage policies are imperative. From setting minimum wage standards to providing comprehensive benefits, such measures not only uplift workers but also foster organisational success and societal stability.
Moreover, investing in education and skill development is crucial to equip workers with the tools needed to command fair wages. By enhancing access to quality education and training programs, Pakistan can empower its workforce and bolster its productivity and earning potential.