Spending under the annual development program (ADP) has been sluggish this fiscal year.
By February, just 31.17% of the total allocation had been utilized, marking the lowest implementation rate in over a decade.
In the first eight months of FY2023-24, the government spent only Tk 856.03 billion out of the Tk 2746.78 billion ADP budget allocation. This rate is even lower than during the pandemic period of FY2020-21.
Experts highlighted challenges in revenue generation and limited borrowing options from banks or the central bank, which could lead to slower project fund disbursement.
However, spending by state-run enterprises increased during July-February, indicating some progress in certain areas.
Prime Minister Sheikh Hasina emphasized the need for feasibility studies to improve project quality and expedite implementation during a recent meeting.
Foreign loans and grants utilization, effective project selection, and forming experienced panels for project directors were among the directives issued by the premier.
Among the top ADP allocation recipients, the shipping ministry performed the worst, while the Ministry of Civil Aviation and Tourism emerged as the top performer.
