IMPACT OF BENAZIR INCOME SUPPORT PROGRAM ON HOUSEHOLD DEVELOPMENT IN PAKISTAN’S LOWEST INCOME BRACKET

Abstract

This study assesses how household development differs between Benazir Income Support Programme (BISP) recipient and non-recipient households in Pakistan’s bottom 40 percent. Using PSLM-HIES 2018-19 data (n=9,923), it constructs a Household-based Human Development Index (HHDI) by combining living standards, health, and education into a single 0–100 index. Living standards are measured through per-capita expenditure, health through under-five survival and child immunization, and education through mean years of schooling and enrolment. The study compares outcomes using descriptive statistics, OLS regressions with household and location controls, and propensity score matching (kernel) to improve comparability on observable characteristics. Results show that BISP recipient households have lower average HHDI scores than non-recipients, mainly due to lower living standards and weaker education outcomes, while health differences are small and not statistically significant. After adjustment, the gaps reduce but remain for HHDI and living standards, and education differences become smaller.