Only 12% of people have bank accounts in Pakistan, literacy has increased from 61 to 63%
Minister for Planning, Development and Special Initiatives Ahsan Iqbal launches the Household Integrated Economic Survey (HIES) 2024-25 at a ceremony organized by the Pakistan Bureau of Statistics in Islamabad on Thursday, January 1, 2026. Photo: PID.
The number of out-of-school children has fallen slightly to below three out of every 10 due to the efforts of three provinces, apart from the Punjab government. However, food insecurity has increased significantly this year, reveals an official survey published on Thursday.
According to the Household Integrated Economic Survey (HIES), out-of-school children remain a problem at 28% nationwide. Rural girls, especially in Sindh and Balochistan, face the highest rates of exclusion, while Punjab fared best and Balochistan worst, despite recent improvements.
Although the survey did not provide an absolute figure, the number of out-of-school children fell from 25.3 million to 20 million compared to the school-age population given in the 2023 census.
The survey was conducted from September 2024 to June 2025 after a gap of six years. The last report was published in 2019. It was completed after a push from the International Monetary Fund.
Education
There is unequal access to education in different regions of the country, but the proportion of children out of school has fallen to 28% from 30%, according to the report. The details showed that one in four boys remain out of school, while this ratio is almost one in three for girls.
It showed that the Punjab government could not depict any progress in bringing out of school children to schools and its ratio remained unchanged at 21%. However, it was the lowest ratio among all the provinces, but was constant compared to the last survey.
In Sindh, the number of out-of-school children fell from 42% to 39%. The KP government ‘reduced its out-of-school rate from 31% to 28%’, according to the report launched by Ahsan Iqbal.
In Balochistan, the number of out-of-school children fell from 59% to 45% – the maximum reduction of any province.
After the Digital Census, Digital Agriculture Census and Economic Survey of Pakistan, the Ministry of Planning has now launched the Household Integrated Economic Survey (HIES) 2024-25 – another important milestone in Pakistan’s shift towards evidence-based policymaking… pic.twitter.com/ejeC2ZsUGU
— Ministry of Planning and Development (@PlanComPakistan) 1 January 2026
Out of 28%, as many as 20% of the children never attended school, while the remaining 8% initially joined and then dropped out, according to the study. Of those who left school, four out of every 10 boys could not continue their studies because they had to take a job to help the family or the education was ‘too expensive’. The girls often travel due to financial constraints, reluctance or family restrictions.
Pakistan’s education system has shown modest overall improvement, with the proportion of people aged 10 and over who have ever attended school increasing from 61% to 67% and literacy increasing from 60% to 63%, according to the results. However, significant differences remain, with male participation and literacy rates still higher than female and urban areas outperforming rural areas.
The marginal improvement in social indicators is unsatisfactory and Pakistan cannot grow with 63% literacy, said Planning Minister Ahsan Iqbal.
Food insecurity
The study shows the impact of high inflation and low economic growth over the past several years on the population’s standard of living.
In Pakistan, about a quarter of households experience moderate or severe food insecurity, with marked differences across provinces and income groups, according to the survey. Vulnerability remains highest in Balochistan and Sindh, while the lowest income quintile faces almost five times greater risk than the highest, the findings showed.
Food insecurity increased significantly in Punjab, jumping from 14.4% to 22.6%, and severe food insecurity almost doubled within six years. Food insecurity in KP also increased from 16.7% to 21.5% in six years. The situation was more alarming in Balochistan, where food insecurity doubled to over 30%, while in Sindh it increased by 10% to 29%.
Connection
Despite Prime Minister Shehbaz Sharif’s goal of having a digital Pakistan, the survey results showed that the country is lagging far behind in connectivity indicators. “Barriers to Internet access persist, including affordability, quality of service and lack of perceived need, particularly in rural areas,” the report said. Mobile phone usage has also fallen from 91% to 83%.
Digital financial inclusion has been measured for the first time, revealing that only 12% of individuals own a bank account and 9% use mobile money service, while 76% have no financial account, the survey showed.
At the household level, mobile and smartphone access has increased to 96%, while internet connectivity has also increased from 34% to 69%. But ownership of computing devices such as laptops and desktops has halved to just 7%.
Meanwhile, information and communication skills remain at the basic level of messaging and copying, but advanced digital skills remain limited, especially among women, the survey found.
Population welfare
Infant mortality is also reported to be on a downward path, falling from 60 to 47 deaths per year. 1,000 live births, while the national mortality rate fell from 41 to 35, according to the study. There is also improved water availability on the premises, which increased from 74% to 79%.
