After taking over, the interim government has reduced funding for non-essential development projects. This has also affected the Annual Development Program (ADP). In the first four months of the current financial year, ADP has been implemented at 7.90 percent in July-October. At this time, the amount of money exemption stood at 21 thousand 978 crore taka; Which is 9 thousand 714 crores 9 lakhs less compared to 2023-24 financial year. The data of the Implementation Monitoring and Evaluation Department (IMED) has revealed this picture.
IMED officials said that the implementation of ADP was disrupted due to the anti-discrimination student movement of July-August. Due to the fact that many local and foreign project contractors are not in the project area, the implementation of the project is stopped. Apart from this, the new ADP exemption has also been reduced. The government is releasing money only for important projects. On the other hand, the government has decided to review the ongoing projects as well as the proposed projects in the pipeline. Among them, proposals to increase the duration and cost of many ongoing projects have also stalled.
According to IMED data, the development expenditure in the month of October of the current financial year 2024-25 was 8 thousand 762 crore 87 lakh taka. In the financial year 2023-24, it was 11 thousand 82 crores and 70 lakhs. That is, compared to the month of October 2023, the development expenditure in 2024 has decreased by Tk 2 thousand 319 crores.
Statistics show that the first four months of the current financial year, July-October, saw the lowest disbursement in the last 8 fiscal years and the lowest ADP implementation in an era. LGED and road department have got big allocation in this time of cut too. As always, the vital health and education sectors are lagging behind in development.
According to IMED data, ADP has been implemented at 7.90 percent in the last four months. Information about implementation of ADP lower than this was not available with the organization. That is why so few ADPs have been implemented in the last era. Meanwhile, 21 thousand 978 crores of money has been released in four months; Which is lowest since 2017-18 financial year. 31 thousand 692 crore rupees were deducted in the last financial year during this time. In the financial year 2022-23, 32 thousand 358 crore rupees were exempted.
Secretary Abul Kashem of Planning Commission's Implementation Monitoring and Evaluation Department (IMED). Mohiuddin told Ajker newspaper that the concessions in development projects have been reduced due to various reasons. Which project is more necessary, which one is less, is being scrutinized. Decisions will be taken after reviewing the projects.
Economists say that the country's economy is in crisis. There is a deficit in revenue collection. As a result, the government has to reduce spending. The budget for the current financial year has many opportunities to reduce wasteful expenditure. In this case, ADP is the big place to cut costs in front of the interim government.
Planning Commission officials say that the implementation of ADP is currently in the initial stage. In this case, there will be no waste of money if ADP makes major cuts by excluding unnecessary expenses. In the current financial year, there are 1 thousand 326 projects under ADP. Many of these are included in 2023 but no expenditure has been seen so far.
The former chief economist of the Dhaka office of the World Bank. Zahid Hossain told Ajker Patrika that political or questionable projects should be reconsidered. Because the government is in a financial crisis, there is also a deficit in revenue collection. The government should reduce spending. A major area of cost reduction is ADP. Allocation should be given considering the importance of the project. Because, the implementation of this project has progressed a lot. It would be better to complete those mega projects which are progressing well. However, it would be better to exclude those mega projects which have not started or are in initial stages.
In the first four months of the current financial year, the local government department has spent the most money of 5 thousand 280 crores. After that, the electricity department spent the highest amount, Tk 3 thousand 520 crores. The road transport and highways department has spent 1 thousand 745 crore rupees. Primary and mass education has spent 1 thousand 285 crores. Ministry of Energy and Mineral Resources has spent Tk 1 thousand 377 crore. Ministry of Foreign Affairs, Law and Justice Department could not spend a single rupee.
However, the most important health service department and health education and family welfare department did not speed up the work. These two departments spent the least among the major ministries. In four months, the health service department spent only 2.42 percent or 269 crore rupees. And the health education and family welfare department spent only 0.04 percent or 2 crore rupees. Apart from this, technical and madrasa education department spent 4.44 percent and secondary and higher education department spent 6.79 percent.
