Ms Maria Sadaqat, 19, was attacked by a group of people on Monday in the village of Upper Dewal close to the summer hill resort of Murree, outside the capital Islamabad.
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According to family, she was attacked because she turned down a marriage proposal.
According to her family members, the teacher along with four unidentified accomplices had set her on fire in revenge for refusing his marriage proposal.
They said one of the attackers worked at the same school as the victim.
The family accused a person named Master Shaukat for committing the crime.
The devastated family has launched a protest outside PIMS.
Maria, a school teacher was brought to PIMS with 85 percent burn injuries on Tuesday, hospital officials confirmed.
Chief Minister of Punjab Shahbaz Sharif took notice and formed an investigation committee to probe the incident.
Abbottabad police had said a 15-member jirga called by the Makol village councillor Pervez ordered for the deceased, Ambreen, to be killed and set on fire as punishment for helping her friend escape the village to marry of her free will.
Talking to Pakistan Today, PIMS Burn Center spokesperson Dr Isaac Asher said that the doctors tried their best to save the girl, but they failed mainly because of her late arrival and the nature of her injuries. Ihsani said that despite the severity of her injuries, the woman’s condition is stable and improving.
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He further added: “For the management of burn patients, the first 24 hours are extremely important and that determines the ultimate outcome”.
