In the latest episode of the State Bank podcast series, three officers from the Economic Policy Review Department (EPRD) discussed the prospects for population opportunities in Pakistan and said that Pakistan’s population has grown at a rapid rate.
Growing from a level of 59 million in 1970 to 231 million in 2021, the majority of Pakistan’s population consists of young people, below the age of 30.
The age distribution of the country’s population is favorable in terms of providing demographic opportunities because it is a period in which the working population exceeds the dependent population, resulting in a demographic dividend. Research shows that the demographic dividend has a positive effect on economy. This favourable population structure hence is a perfect opportunity of high economic growth in the country.
For instance, East Asia experienced rapid economic growth from 1965 to 1990, and it is estimated that one-third of this growth was due to population gains, while the rest was due to favorable economic policies.