Shafaqna Pakistan | by Arsal Mir- A new Oxfam report on Asia has sounded a stark warning: Despite decades of economic growth, the region now stands at a crossroads where prosperity is increasingly concentrated in the hands of a small elite. The report presents compelling data showing that the richest 10% of people across Asia capture between 60% and 77% of national income, while the poorest half of the population must survive on a meagre 12% to 15%. This widening gap between the rich and the poor underscores a troubling reality that the benefits of Asia’s growth are far from evenly distributed.
Pakistan offers a striking example of this regional inequality. According to the report, the wealthiest 10% of Pakistanis control 42% of the national income, leaving the rest of the population struggling to make ends meet. This deep economic imbalance creates a self-perpetuating poverty trap that stifles social mobility and undermines national development.
The report further points out that Pakistan’s public spending on education less than 2% of GDP is among the lowest in Asia. This chronic underinvestment deprives millions of young people of the skills and opportunities needed to escape poverty. Meanwhile, the country’s tax system remains heavily reliant on indirect taxation, which disproportionately affects lower-income households, while the wealthiest segments often find ways to evade or minimize their tax obligations.
Adding to this economic injustice is the climate crisis, which is intensifying the hardships faced by the poor. Oxfam officials emphasize that Pakistan’s repeated exposure to floods, droughts, and other climate disasters places the heaviest burden on those least responsible for global emissions. Low-income communities, already struggling with limited resources, bear the brunt of these catastrophes.
Ironically, the country’s elites who profit from polluting industries, inefficient water usage, and environmentally damaging agricultural practices continue to receive the lion’s share of government support and subsidies when climate disasters strike. This dynamic mirrors the global imbalance, where those contributing the least to climate change suffer its worst consequences.
The Oxfam report also draws attention to the erosion of civic freedoms and the widening digital divide in many Asian countries. As access to technology becomes increasingly essential for participation in modern economies, those excluded from digital spaces risk being left further behind. This growing exclusion, coupled with economic frustration, is fuelling unrest and disillusionment, especially among youth who see limited prospects for upward mobility.
Without bold structural reforms such as implementing progressive taxation, increasing public spending on education and healthcare, and adopting fair climate adaptation policies inequality will continue to deepen, undermining both economic stability and social cohesion across Asia. For Pakistan and the region alike, the Oxfam report serves as a timely reminder that growth without fairness is unsustainable. Addressing inequality is not just a moral imperative but a prerequisite for lasting prosperity.
Source: Shafaqna Pakistan
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