The Human Development Index (HDI) is a statistical tool used to measure a country’s overall rewards in its economic and social dimensions. Economic and social dimensions of a state are based on the health of people, their education level accomplishment and their standard of living. Every year United Nations Development Program (UNDP) ranks countries based on the HDI report released in their annual report.

Unluckily, according to the recently released UNDP report on HDI, Pakistan was at the 150th place, out of 189 countries, in 2018. Similarly, Pakistan ranking was 105th on the indicator that measures how much credit a country gets for doing business. Thus Pakistan is going in a loss compared to other countries. Pakistan falls in the bottom rank of countries in terms of human capital index (HCI) launched by the World Bank and it could be an important factor contributing to the country’s low GDP per Capita ($ 1,541). Poor HCI evidences low level of investment in human resource development. For example, education spending is less than even a mere 2.5p of Gross Domestic Product (GDP) in Pakistan. However, it may also not be possible to advance economic growth and boost per capita income without elevating HCI and HDI.

Lastly, the Human Development Index (HDI) is worse in Pakistan. The HDI index is an alarming concern for the government, and it will not be possible to fix the economy of the country without stabilizing social conditions like illiteracy, unemployment etc. Thus, boosting economy and business should be the main focus of the Pakistani government right now.


Kech, January 21.