Abstract: A study was carried out to determine the nutritional status of school-aged children living in an urban squatter settlement in Islamabad, Pakistan. 200 children were selected through systematic random sampling from 1479 children aged 5-10 years living in 1147 households. Measurement of height and body weight revealed a high prevalence of malnutrition among these children. The prevalence of underweight (< 2 standard deviations below the NCHS standard for weight-for-age) was 29.5%, wasting (< 2 SD below standard weight-for-height) 13% and stunting (< 2 SD below standard weight-for-height) 35%. Overall 44% of the children had one or more of underweight, wasting or stunting. Severe malnutrition (< 3 SD below the standard value) was present in 15.4% of the children. The prevalence of malnutrition was significantly higher among older children and those from larger, poorer households. The study recommends the inclusion of school-aged children in the Pakistan National Nutrition Survey.