ADP implementation slows in Jul-Oct
The implementation rate of the Annual Development Programme (ADP) has declined year-on-year in the first four months of the current fiscal year.
The ministries and departments spent 12.64% of the total ADP allocation compared to 13.06% spent in the same period of last fiscal year, according to the latest report of the Implementation Monitoring and Evaluation Department (IMED).
According to the IMED data, the spending from the allocation of government funds for the ADP has decreased compared to the previous financial year.
In the first four months of the last financial year, ministries and departments spent Tk19,549 crore from government funds. The expenditure has come down to Tk18,190 crore in the current financial year.
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The spending is 12.21% of the total allocation of government funds compared to 14.24% a year ago.
However, during this period, the spending from foreign aid increased by 3.23% compared to the previous fiscal year. In the first four months of the last fiscal year, the spending was Tk9,857 crore compared to Tk13,277 crore this fiscal year.
Planning ministry officials said the spending has decreased slightly from the allocation of government funds as the government has tightened the belts in terms of its development project expenditure.
On the other hand, the government has ordered the implementation of foreign aid-supported projects, due to which the use of foreign aid has increased this time, they added.
To deal with the economic crisis, the government has divided the development projects into A, B and C categories, considering their importance.
The government has stopped funding the projects in the C category, which will not face much trouble if not given allocation right now.
Those in the B category will receive 75% of the allocation, while the government will keep on releasing 100% of the allocation for all foreign-funded projects in the A category.
According to the IMED data, after four months of this fiscal year, many ministries and departments are yet to accelerate their spending. Among them are the ministries and departments that have received the highest allocation.
In the July-October period, the Bridges Division, which received the highest allocation, spent 37% of the allocated fund, but the shipping ministry spent only 4.54% of the money.
Among the top allocation recipients, the primary and mass education ministry spent 5.73%, the health services division 6%, the science and technology ministry 8.03%, the secondary and higher education directorate 8.67% and the water resources ministry 8.75% in the four months through October.
Among the ministries and departments that received the highest allocation, the power division, the railway ministry, and the local government department got the speed in the ADB implementation, according to the IMED report.
