Tk 7,143 crore has been spent on the annual development programme (ADP) so far, the lowest in the past 12 years due to cautious spending by the government and work disruptions amidst political turmoil.
In the first two months (July-August) of the current fiscal year 2024-25,. Which is 2.57 per cent of the total ADP allocation. In this fiscal year, the total ADP allocation of the government is Tk 278,288 crore.
Experts say political uncertainties and instability in July and August and the lukewarm response of the bureaucracy to different policy prescriptions of the interim government had slowed the ADP implementation rate.
"This should, however, improve if political stability and law and order is restored and public bodies become more decisive," they said.
The Implementation Monitoring and Evaluation Department (IMED) released an update on ADP implementation.
Information up to the 2010-11 fiscal year is available on IMED's website. Whereas ADP implementation rate was not less than 3 per cent in any fiscal year. In the last fiscal year 2024-25, ADP implementation rate was 3.84 per cent. In the previous fiscal year (2023-24), the implementation rate was 3.85 per cent.
In the context of political changes in the country, foreign workers, contractor representatives and consultants of some foreign-funded projects left the project site, according to IMED, the implementation of the project is disrupted.
According to the IMED report, Tk 3,241 crore were spent from government funds in July-August, which is 1.69 per cent of the allocation of government funds. Earlier in no fiscal year, such less money was spent in the month of July-August. In the same period of the last fiscal year, the amount spent was Tk 6,854 crore, which was 1.27 per cent of the allocation of government funds in the ADP of that fiscal year.
IMED officials said all projects under the ADP had been halted as contractors fled following the ouster of the Sheikh Hasina-led Awami League government on August 5.
Moreover, out of the 56 ministries and divisions, the land and foreign affairs ministries, law and justice division and parliament secretariat could not spend a single paisa.
On the other hand, 3.10 per cent or Tk 3,098 crore have been spent in the month of July-August of the current fiscal year from the allocation of foreign aid sector. At least 3.58 per cent was spent from foreign funds in the last fiscal year.
According to IMED data, many major ministries and departments which received the maximum allocation during July-August could not start the project implementation work. This includes ADP of Science and Technology Ministry 0.01 per cent, Directorate General of Health Services 0.23 per cent, Water Resources Ministry 0.35 per cent, Medical Education and Family Welfare Division 0.01 per cent, Bridge Division 0.23 per cent, Chief Adviser's Office 0.01 per cent. Ministry of Disaster Management and Relief 0.96 per cent and Ministry of Industries 0.57 per cent.
Among the ministries and departments that received the highest allocation, the Local Government Division received 2.47 per cent of the allocation, the power division 3.16 per cent, the Road Transport and Highways Department 1.05 per cent, Secondary and Higher Education Division 1.93 per cent, the Primary and Mass Education Ministry 0.65 per cent. The Ministry of Shipping spent 0.50 per cent.
According to IMED officials, project officials are usually busy with preparatory work at the beginning of the fiscal year. Due to this, the ADP implementation rate is low at the beginning of the fiscal year. Apart from this, political unrest throughout the month of July, the 'Bangla blockade' of anti-discrimination student movement and the non-compliance movement also affected the implementation of ADP.
The situation was similar in August. On August 5, prime minister Sheikh Hasina resigned and fled to India, and three days later an interim government was formed in the country with Nobel Laureate economist Dr Muhammad Yunus as the Chief Adviser. But throughout August there was unrest in the administration. Development activities also came to a standstill. Again, in some foreign-funded projects, foreign workers, contractor representatives and consultants left the project. This disrupted project implementation.
