Only 12% of people have bank accounts in Pakistan, literacy rate 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 decreased slightly to below three in 10, thanks to the efforts of three provinces except the Punjab government. However, food insecurity has increased significantly this year, an official survey published on Thursday reveals.
According to the Household Integrated Economic Survey (HIES), children not attending school remains a concern at 28% nationally. Rural girls, particularly in Sindh and Balochistan, face the highest exclusion rates, while Punjab fared best and Balochistan the 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 figure provided in the 2023 census.
The survey was conducted between September 2024 and June 2025, after a gap of six years. The last report was published in 2019. It was finalized after a push from the International Monetary Fund.
Education
According to the report, there is unequal access to education in several regions of the country, but the proportion of out-of-school children has decreased from 30% to 28%. The details showed that one in four children is still out of school, while this proportion is almost one in three for girls.
It showed that the Punjab government could not make any progress in bringing out-of-school children to schools and their ratio remained unchanged at 21%. However, it was the lowest proportion among all provinces, but remained constant compared to the last survey.
In Sindh, the proportion of out-of-school children decreased from 42% to 39%. The KP government “reduced its out-of-school rate from 31% to 28%,” according to the report presented by Ahsan Iqbal.
In Balochistan, the proportion of out-of-school children decreased from 59% to 45%, the largest reduction recorded in any province.
Following the Digital Census, Digital Agricultural Census and Pakistan Economic Survey, the Ministry of Planning has 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) January 1, 2026
According to the survey, of the 28% of children, up to 20% never went to school, while the remaining 8% first entered and then dropped out of school. Of those who dropped out of school, four in 10 children were unable to continue their studies because they had to take odd jobs to help the family or education was “too expensive.” Girls often leave due to financial constraints, lack of will or family restrictions.
Pakistan’s education system has shown modest overall improvement: the proportion of people aged 10 and over who have ever attended school increased from 61% to 67% and literacy increased from 60% to 63%, according to the findings. However, significant disparities remain as men’s attendance and literacy remain higher than women’s and urban areas outperform rural areas.
The marginal improvement in social indicators is unsatisfactory and Pakistan cannot grow with a literacy rate of 63%, Planning Minister Ahsan Iqbal said.
Food insecurity
The survey describes the impact of high inflation and low economic growth over recent years on people’s living standards.
According to the survey, across Pakistan, about a quarter of households experience moderate or severe food insecurity, with stark disparities between provinces and income groups. Vulnerability remains the highest in Balochistan and Sindh, while the lowest income quintile faces almost five times the risk of the highest, the results showed.
Food insecurity increased significantly in Punjab, where it jumped from 14.4% to 22.6%, and severe food insecurity almost doubled in six years. Food insecurity in North Korea also increased from 16.7% to 21.5% in six years. The situation was most alarming in Balochistan, where food insecurity doubled to over 30%, while in Sindh it increased between 10% and 29%.
Connectivity
Despite Prime Minister Shehbaz Sharif’s goal of having a digital Pakistan, the survey results showed that the country lags far behind in connectivity indicators. “Barriers to Internet access persist, including affordability, quality of service, and lack of perceived need, especially in rural areas,” the report states. Mobile phone use has also decreased from 91% to 83%.
Digital financial inclusion was measured for the first time and revealed that only 12% of people own a bank account and 9% use mobile money services, while 76% do not have a financial account, according to the survey.
At the household level, access to mobiles and smartphones 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 copy-pasting, but advanced digital competencies remain limited, especially among women, the survey revealed.
Well-being of the population
The infant mortality rate also shows a downward trend and decreased from 60 to 47 deaths per 1,000 live births, while the national mortality rate fell from 41 to 35, according to the survey. There is also an improvement in the availability of water within the facilities, which increased from 74% to 79%.
