Key Facts: Pakistan vs Sri Lanka Wages
- Pakistan Minimum Wage
- ₨160/hr ($0.57 USD)
- Sri Lanka Minimum Wage
- Rs135/hr ($0.45 USD)
- Pakistan Avg. Gross Monthly Salary
- ₨39,042 /mo ($140.19 USD)
- Sri Lanka Avg. Gross Monthly Salary
- Rs55,000 /mo ($183.95 USD)
- Data Sources
- Ministry of Overseas Pakistanis and Human Resource Development; FY2025-26 federal budget confirmed minimum wage UNCHANGED at PKR 37,000/month (no increase despite high inflation; Federal Government Grade 1-16 employees received separate 10% pay rise that does not affect minimum wage). Verified via Brecorder (brecorder.com/news/minimum-wage-to-remain-unchanged-at-rs37000-in-fy26). (2026-05-04), Department of Labour — Sri Lanka; 2025 figure verified via Wikipedia List of countries by minimum wage (eff 2025-04-01) (2026-05-04)
Pakistan
Sri Lanka
Updated 2026-05-04
Both lower-middle-income economies, Pakistan and Sri Lanka set comparable minimum wage floors in USD terms. Average salaries are lower in Pakistan at $140/mo compared to $184/mo in Sri Lanka. GDP per capita (PPP) in Sri Lanka is 2.5x that of Pakistan, underscoring the structural economic divide.
From Pakistan's perspective: adjusting for purchasing power, Pakistan's minimum wage buys more than Sri Lanka's. The PPP-adjusted hourly rate in Pakistan is $2 international dollars, compared to $2 in Sri Lanka. Pakistan has lower GDP per capita ($6,252 vs $15,633). Pakistan's unemployment rate is 5.4% compared to Sri Lanka's 4.0%.
Detailed Comparison
| Metric | Pakistan | Sri Lanka |
|---|---|---|
| Minimum wage /hr | ₨160 $0.57 | Rs135 $0.45 |
| Minimum wage /day | — | Rs1,080 $3.61 |
| Minimum wage /mo | ₨37,000 $132.85 | Rs27,000 $90.30 |
| Minimum wage /yr | ₨444,000 $1,594.25 | Rs324,000 $1,083.61 |
| Avg. gross salary /mo | ₨39,042 /mo $140.19 | Rs55,000 /mo $183.95 |
| Avg. net salary /mo | ₨35,138 /mo $126.17 | Rs49,500 /mo $165.55 |
| Median individual income /yr | ₨403,200 /yr $1,447.76 | Rs420,000 /yr $1,404.68 |
Percentage differences are based on USD equivalent values. Positive means Pakistan is higher.
Work Week
- Pakistan
-
48 hrs/wk standard
Max 56 hrs/wk
Overtime : 2x pay
Factories Act 1934 sets standard at 48 hours/week (9 hrs/day). Maximum 56 hours including overtime. Overtime paid at double the ordinary rate. Shops and Establishments ordinances vary by province.
- Sri Lanka
-
45 hrs/wk standard
Max 45 hrs/wk
Overtime : 1.5x pay
Shop and Office Employees Act limits hours to 8 per day and 45 per week for commercial establishments. Factories Ordinance limits factory workers to similar hours. Overtime is paid at 1.5x the ordinary rate. Different rules apply to plantation workers and domestic workers. Public holidays: approximately 25 per year (Sri Lanka has one of the highest numbers of public holidays globally).
• WAGE TRAJECTORY (USD/hr)
What This Means for Workers
A minimum wage worker moving from Sri Lanka to Pakistan would see a 27% increase in USD-equivalent hourly earnings. Standard work weeks differ: Pakistan mandates 48 hours while Sri Lanka mandates 45 hours. A minimum wage worker's weekly earnings in Pakistan are $28 vs $20 in Sri Lanka.
See this comparison from Sri Lanka's perspective: Sri Lanka vs Pakistan
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Frequently Asked Questions
Is the minimum wage higher in Pakistan or Sri Lanka?
In Pakistan, the minimum wage is ₨160/hr ($0.57 USD). In Sri Lanka, it is Rs135/hr ($0.45 USD). Pakistan has the higher rate by 27% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Sri Lanka may retain a larger share of their earnings if prices there are lower.
How much less does the average worker earn in Pakistan compared to Sri Lanka?
The average gross salary in Pakistan is ₨39,042/mo ($140.19 USD), compared to Rs55,000/mo ($183.95 USD) in Sri Lanka. In USD terms, workers in Pakistan earn approximately 31% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Pakistan and Sri Lanka is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Sri Lanka earn more in nominal terms, though how far that income stretches depends on local prices in Pakistan.
Which country has better purchasing power for minimum wage workers, Pakistan or Sri Lanka?
After adjusting for local prices using purchasing power parity (PPP), minimum wage workers in Pakistan can afford more than those in Sri Lanka. The PPP-adjusted rate is $2 in Pakistan and $2 in Sri Lanka. PPP converts wages into equivalent US dollar buying power, accounting for what a unit of currency actually buys locally. The 54% purchasing power gap means that even if the nominal wage in Sri Lanka appears competitive, minimum wage workers there face greater constraints on day-to-day spending.
How do work hours compare between Pakistan and Sri Lanka?
Pakistan has a longer standard work week at 48 hours, compared to 45 hours in Sri Lanka. Workers in Pakistan work 48 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Sri Lanka working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.
What is the cost of living difference between Pakistan and Sri Lanka?
While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Sri Lanka has the higher GDP per capita at $15,633, which is 2.5x that of Pakistan at $6,252. From Pakistan's perspective, this means goods and services are priced at a lower economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.