Saiqa Wahab
As Pakistan grapples with persistent economic instability and seeks a sustainable path toward growth, a glaring reality remains at the heart of its structural challenges: the vast majority of its female population remains outside the formal workforce.
In a country of over 240 million people, where women make up nearly half the population, the vast majority remain confined within the four walls of their homes. Pakistan is currently grappling with one of the most severe economic periods in its history. Inflation, debt, and slow growth have dominated headlines. Yet, economists argue that the most potent solution to Pakistan’s financial woes is not a foreign loan or a new tax bracket; it is the integration of women into the formal workforce.
According to the latest Pakistan Labor Force Survey 2024-25, released by the Pakistan Bureau of Statistics (PBS), the Female Labor Force Participation (FLFP) rate stands at a disappointing 24.4%. While this is a marginal improvement from the 21% recorded a few years ago, it remains one of the lowest in the world. To put this in perspective, nearly 70% of Pakistani men are part of the active workforce. This 45-point gender gap represents a massive waste of human capital that the country can no longer afford.
When compared to its regional countries, Pakistan’s numbers tell a story of untapped potential. Bangladesh, a country that shared a history with Pakistan, has seen its female workforce participation soar to approximately 38%. This surge was driven largely by the textile sector and proactive social policies, contributing significantly to Bangladesh’s status as a rising “economic tiger.” Even India, which faced similar historical slumps, has seen its female participation rise to 32.7% in recent years. Globally, the contrast is even sharper. The world average for female labor force participation sits at approximately 51%. Pakistan is not just behind the West; it is falling behind its own neighbors. For a country where women make up nearly half the population, staying at half the global average represents what economists call a “trillion-dollar missed opportunity.” The Asian Development Bank (ADB) estimates that closing the gender gap could boost Pakistan’s GDP by as much as 30%.
One of the most alarming statistics in the Pakistani context is the “education trap.” Research highlights that higher education does not automatically translate into employment for Pakistani women. Pakistan produces thousands of female doctors, engineers, and business graduates every year. In many medical colleges, women make up over 70% of the student body. However, statistics show that only a fraction of these women enter the professional world or stay in it long-term. Only about 25% of women with a university degree are currently part of the workforce. Thousands of doctors, engineers, and business graduates exit the professional pipeline after marriage, often due to familial pressure or the lack of supportive corporate infrastructure.
Why are women staying home? The challenges are multifaceted, ranging from deep-seated cultural norms to physical infrastructure. Public transport remains a primary hurdle. A study by the International Growth Centre (IGC) noted that the cost and safety of commuting are decisive factors. Many women spend a disproportionate amount of their salary on “safe” private transport, making work financially unviable. For many women from lower-income backgrounds, the cost of “safe” transport exceeds what they would earn, making employment a financial loss. Despite the “Protection Against Harassment of Women at the Workplace Act,” the fear of harassment in public spaces and offices remains a deterrent.
Statistics show higher participation in rural areas (around 28-30%) compared to urban centers (around 10-12%). However, this is a misleading victory. Rural women work primarily in agriculture as “unpaid family helpers.” They labor under the scorching sun, picking cotton or tending to livestock, but they are rarely counted as formal employees and have no control over the income they generate. They are working, but they are not economically empowered.
The government and the private sector must move beyond rhetoric. Policy experts suggest a shift from “awareness” to “actionable infrastructure.” Tax incentives for companies maintaining a 30% female staff, and the expansion of women-only transport services.Mandatory daycare centers in any office with more than 25 employees and strict enforcement of equal pay. In an era of remote work, providing high-speed internet and digital literacy to women in smaller towns can bypass the mobility barrier entirely. Media and educational curriculums must play a role in shifting the cultural narrative, showing that a woman’s professional success is a matter of national pride, not a compromise on family values.
What would happen if Pakistan bridged this gap? The numbers are staggering. The Asian Development Bank (ADB) and the World Bank have repeatedly noted that if Pakistan matched its female labor participation to that of men, its GDP could grow by as much as 30% to 40%.
In a time when the country is seeking a $7 billion IMF program, a 30% boost to the GDP through internal reform would be revolutionary. It would mean higher household incomes, better nutrition for children (as women tend to invest 90% of their income back into their families), and a broader tax base for the government.
Pakistan stands at a crossroads. We can continue to operate as a “one-legged” economy, ignoring the talent and ambition of 50% of our population, or we can dismantle the barriers that keep women at home.
No nation has ever reached “developed” status by keeping half its talent pool on the sidelines. The 24.4% figure is not just a statistic; it is a call for a national cultural and structural overhaul. To compete in the 21st century, Pakistan must realize that a woman’s place is not just in the home, but in the boardroom, the laboratory, the factory, and the parliament. Only then can the country hope to achieve the stability and prosperity that has eluded it for decades.
—The writer is contributing columnist, based in Rawalpindi.
