How rising cost of living squeezes middle class

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LAHORE: Due to the immediate effects of policy makers on the poor, food inflation is more focused, which can lead to social unrest and instability. However, the middle class faces significant financial pressure due to rising fares, tuition fees and increased medical spending.

For the poor – which holds more than 40 % of the population – food is their basic cost. Many raw populations do not have to face housing costs or live in informal settlements. They send their children to non -standard public schools or keep them completely out of education. Healthcare care, they often do the day of treatment at the government clinic or visit the incompetent practitioners. However, those who raise the economic ladder should buy these essential services at market rates.

These costs cause enough part of medium -class costs. Nevertheless, unlike food inflation, they do not get the same level of policy attention. This has led to a constant harvest of the power of the middle class purchase, long -term results such as low -savings, reducing consumer costs and even with brain drains, professionals seek better opportunities abroad.

Due to increasing housing, education and health care costs, the pressure on the middle class is caused by weak regulatory monitoring, economic mismanagement and structural disqualification. Citizens are increasing due to lack of cheap housing projects and real estate speculation, where property is conducted to appreciate the price rather than being available for rent. Converting industrial and commercial land into housing societies has reduced the space available for sustainable housing development.

Due to inadequate government investment in public investment in quality public education, education costs are becoming increasingly unbearable, forcing middle -class families to rely on private schools. Many private schools work without rigorous fee regulations, increasing tuition costs. Similarly, limited competition in higher education students have no choice but to enroll in expensive private universities.

The healthcare system is ineffective and ineffective, which pushes people to expensive private hospitals. This has significantly helped the growing health care costs. The increasing cost of currency -powered drugs and the increasing cost of medicines in the supply chain has increased the treatment costs. Private hospitals, which work without proper supervision, continue to receive excessive fees.

To deal with these three important issues, strong administrative measures are needed to reduce the financial burden on the middle class. For accommodation, the rental control mechanism should be implemented to prevent excessive increase. The rent index-increasing the annual rent increase to 5-7 %-has been successful in Maharashtra (Mumbai) and Malaysia, where the increase has been linked to inflation. Although there is a ban on Punjab fare, its implementation has to be strengthened to prevent the exploitation of tenants. Developers should be encouraged to build cheap rent housing, and urban planning should focus on expanding housing supply rather than speculation progress.

In education, the government has to impose fees rules for private schools and invest in strengthening public education to provide cheap alternatives. A cap on tuition fees increases-At least 8-10 % of the year, linked to the fee, should be introduced. Provincial governments will have to strictly enforce the Regulation Act of Private Schools in Punjab and Sindh, which must disclose financial records to justify the increase in fees. The state should also introduce scholarships or tax intervals to reduce financial pressure for middle -income families.

Regarding health care, it is very important to extend healthcare insurance schemes to cover middle -class families. The Confrontation Program (SSP) should be extended not only to the poor, but to the lower middle income. After models such as Indonesia’s micro -insurance programs, the government should facilitate the private sector in the health insurance schemes. Essential medicines and health care services should have strict prices, which reduce costs with private health care encouraging measures. To prevent excess charging, the state will have to fix basic medical services – such as consultations, tests and fixed compensation for hospitalization.

By implementing these reforms, the government can help strengthen the standard of living of the middle class, ensure long -term economic stability and help prevent further social disparity.