ISLAMABAD: The Human Rights Commission of Pakistan (HRCP) has expressed serious concerns over the 2025–26 federal budget, highlighting its failure to protect the country’s most vulnerable populations.
The budget, shaped under strict austerity measures linked to IMF conditions, offers minimal relief for low-income groups who continue to struggle amid prolonged inflation.
Although there is a slight reduction in income tax rates for salaried workers, it does little to recover the lost purchasing power of working-class families.
Minimum Wage and Social Sector Allocations
One major point of criticism is the federal minimum wage, which remains unchanged at Rs37,000 per month—insufficient to cover basic living costs for an average family of six.
Even provincial increases in Punjab and Khyber Pakhtunkhwa to Rs40,000 do not offset inflation’s impact, and enforcement is weak, with 80% of industries in Sindh reportedly violating wage laws.
The budget’s allocation for essential social sectors like health (0.96% of GDP), education (1.06%), and social protection (1.1%) is significantly below international standards and neighboring countries such as India, Sri Lanka, and Bangladesh.
Calls for Social Justice and Reconsideration of Priorities
Economist Dr. Fahd Ali emphasized that with 45% of Pakistanis living below the poverty line and 88% earning less than Rs75,000 monthly (considered a living wage by HRCP), the budget reflects a concerning disregard for social justice.
HRCP Secretary-General Harris Khalique condemned the government’s decision not to raise the minimum wage while approving large salary increases for parliamentarians.
HRCP representatives stressed that healthcare and education are fundamental state responsibilities, and women bear a disproportionate burden from such austerity measures.
HRCP urged the government to rethink fiscal priorities and invest meaningfully in public health, education, and social safety nets to uphold the rights and dignity of marginalized communities.
