(1) Background: Physical literacy (PL) is a multidimensional concept, since it fosters lifetime engagement in physical activities and reduces obesity; however, empirical evidence is lacking to support this association. This study first aimed to establish PL levels stratified by normal weight children and children with overweight and obesity. Furthermore, this study determined a correlation between PL domains and BMI by weight status among South Punjab school children. (2) Methods: This cross-sectional study involved 1360 (Boys: 675 and Girls: 685) children aged 8 to 12, and was conducted using CAPL-2. T-tests and chi-square were used to determine the difference between categorical variables, with MANOVA used to compare weight statuses. Spearman correlation was employed to determine the correlation between variables; p < 0.05 was considered significant. (3) Results: Normal weight children had significantly higher PL and domain scores, except for the knowledge domain. Most children with normal weights were at the achieving and excelling levels, while children with overweight and obesity were at the beginning and progressing levels. The correlation among PL domains in normal and overweight and obese children ranged from weak to strong (r = 0.001 to 0.737), and the knowledge domain was inversely correlated with the motivation domain (r = −0.023). PL and domain scores were inversely correlated to BMI, except for the knowledge domain. (4) Conclusions: Children with normal weight tend to have higher PL and domain scores, while those with overweight or obesity tend to have lower scores. There was a positive relationship between normal weight and higher PL and domain scores, and an inverse relationship was observed between BMI and higher PL scores.

Background. Physical literacy is vital for addressing children’s health issues such as childhood obesity, physical inactivity, and sedentary behavior. However, there is a lack of research on PL assessment in Pakistan. This study is aimed at translating and cross-culturally adapting the Canadian Assessment of Physical Literacy-2 (CAPL-2) tool and establishing its validity and reliability in the Pakistani population. Methods. The CAPL-2 was translated to Urdu employing the translation and back translation method. A cross-sectional study involving 350 school children (8-12 years) from Multan, South Punjab, evaluated the CAPL-2U version’s reliability. Results. Expert consensus and pilot testing successfully achieved translation, cross-cultural adaptation, face and content validity. The CAPL-2U demonstrated excellent reliability and internal consistency across the domains. Specifically, daily behavior domain had an internal consistency of and test-retest reliability of . Knowledge and understanding domain showed internal consistency ranging from to 0.986 and test-retest reliability of to 0.986. The motivation and confidence domain had an internal consistency of to 0.997 and test-retest reliability of to 0.993. The correlation between test-retest results for knowledge and understanding and motivation and confidence domains was to 0.973. However, two items in the motivation and confidence domain showed discrepancies in test-retest outcomes. Conclusion. The study confirms the successful translation and adaptation of the CAPL-2 questionnaire for use in Urdu and Pakistani contexts. The findings endorse the tool’s reliability and suitability for assessing physical literacy in Pakistan’s children aged 8-12.