November 25, 2024, 9:49 pm

Two agencies leave funds untouched as Jul-Oct ADP spending hits record low

  • Update Time : Monday, November 25, 2024
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Photo: Collected

TDS Desk:


Annual Development Programme (ADP) implementation in the first four months of the fiscal year (FY) has hit a record low in the current FY25, according to available data, with two government agencies failing to spend a single taka.

According to sources with the Implementation, Monitoring, and Evaluation Division (IMED) of the planning ministry, Tk21,978.17 crore was spent from the ADP allocation during the July-October period, which is just 7.9% of the total allocation of Tk278,288.90 crore for FY25. During this period of last year, Tk31,692.26 crore of ADP allocations was spent.

Data available on the IMED website, dating back to FY2013-14, show that ADP implementation rates in the first four months of previous fiscal years were typically between 12% and 13%.

IMED data indicate that seven ministries and divisions failed to utilise even 1% of their allocated funds between July and October this year.

Among them, the Law and Justice Division and the Ministry of Foreign Affairs did not spend a single taka. For the 2024-25 ADP, the Law and Justice Division was allocated Tk149.11 crore for four projects, while the Ministry of Foreign Affairs received Tk143.16 crore for seven projects.

Furthermore, 24 ministries and divisions spent less than 5% of their respective allocations.

The Ministry of Energy and Mineral Resources recorded the highest expenditure, using 30.87% of its allocation.

Other notable performers include the Cabinet Division (24.46%), the Implementation, Monitoring, and Evaluation Division (23.31%), the Ministry of Law, Justice, and Parliamentary Affairs (16.18%), the Ministry of Rural Development and Cooperatives (16.75%), and the Ministry of Labour and Employment (15.14%).

According to IMED sources, Tk11,798 crore was spent from domestic sources, Tk8,210 crore from foreign loans, and Tk1,970 crore from the implementing agencies’ own funds between July and October.

Abul Kashem Md Mohiuddin, secretary of the IMED, told , “Funds are being disbursed after thorough verification of the projects. We are unable to take any action without determining whether a project was politically motivated or genuinely necessary.

“However, everything will be sorted out within the next two months. We will inquire why the Law and Justice Division and the Ministry of Foreign Affairs did not spend any funds.”

The slow progress of projects being implemented abroad may also have contributed to their zero spending, he added.

In December, officials from the Economic Relations Division (ERD) are scheduled to hold meetings with representatives from various ministries. ERD officials have stated they are adopting a stricter approach towards allocating funds for new foreign aid-supported projects.

A directive from the ERD stipulates that no new project proposals will be considered for funding without administrative approval.

Additionally, any request to extend a project’s timeline or budget must include an official government order for approval.

 

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