Household Poverty and Vulnerability in District Khyber, Khyber Pakhtunkhwa: Evidence on Socio-Economic Correlates

Abstract

Poverty remains a major development challenge in Pakistan, particularly in rural and marginalized areas. This study examines household-level poverty determinants in District Khyber, Khyber Pakhtunkhwa, and using data from 380 households collected under the RISE-II baseline survey of Islamic Relief Pakistan (2023). Vulnerability to poverty was estimated using Shubham Chaudhuri’s (2002) FGLS-based methodology, alongside regression analysis to identify socio-economic correlates. Results show that 46.48% of households live below the poverty line, with a poverty gap of 9.28% and a squared gap of 2.90%. Around 60% are vulnerable to future poverty. Larger households and low per capita income significantly increase poverty risk, while landlessness and disability heighten vulnerability. Conversely, hygiene training, community-based organizations, and membership in such groups reduce it. The study highlights that poverty in District Khyber is multidimensional, requiring targeted interventions such as livelihood diversification, inclusive development, education, healthcare, and WASH improvements to build resilience.