Written by The Banking Post
Alarmed by sluggish development spending, the government will review why implementation of the Annual Development Programme (ADP) in the first two months of FY2025-26 has lagged behind last year’s level.
Planning Adviser Dr Wahiduddin Mahmud said on Wednesday that ADP implementation in July–August stood at 2.39%, slightly lower than 2.57% in the same period of FY2024-25. Historically, the figure hovers between 3% and 4% in the first two months.
“We expected a faster start, but that hasn’t happened. An inter-ministerial meeting will be held next week to identify bottlenecks and propose solutions,” Mahmud told reporters after an ECNEC meeting at the NEC conference room.
He cited delays caused by frequent revisions, transfers of project directors, and contractors abandoning work. “Traditionally, project directors are chosen from government officials, but many are now reluctant despite the benefits,” he noted.
Mahmud also flagged irregularities, including land acquisition without prior approval and spending beyond sanctioned allocations. One project was shut after acquiring land without clearance, leaving the government liable for Tk 20 crore in costs.
On the positive side, ministries handling large sectors—such as water resources, railways, public works, power, and energy—are taking extra time before inviting tenders to align with new procedures aimed at improving discipline and curbing misuse of funds.
The government also plans to finalise the revised budget earlier this fiscal year, targeting mid-February instead of the usual later date, the adviser added.
