The interim government is contemplating on the small but people oriented development projects to accelerate the very low implementation of the annual development project (ADP).
According to the Planning Ministry sources, in the last couple of ECNEC meetings the advisers have detailed discussions on this issue to induce a vibe in the economy as it is now more or less at a stagnant situation after the fall of Awami League government on August 5 last year.
A top official of the Planning Ministry said that the government has directed the concerned officials to pick up small projects which could be implemented very quickly.
Worried about slowdown, govt pushes for speeding up ADP implementation
“But these small projects must be beneficial to the local people greatly, this is the intention of the current government,” the official told UNB.
The ECNEC meetings chaired by Chief Adviser Professor Muhammad Yunus made it clear that the government wanted to implement some good projects for the welfare of the people of the country.
In this regard, the ECNEC meetings asked the officials concerned to have discussions with the people who will be benefited by these projects.
Interim govt seeks to rationalise health sector funding in ADP
In this connection, a planning commission official said that directives have been given to talk to the local people first while taking any development in a specific area.
In this connection, he mentioned that if any irrigation project has taken for a specific area it should be done through a proper consultation with the local people to find out their traditional irrigation process and their attitude towards the new irrigation system.
“If the new irrigation project is designed from the capital city without consulting with the local people then it would not bring any positive results for the users. The local people may not get involved in this project or feel encouraged to use it,” he said.
The planning commission official said that forcing any big project through taking assistance from the lending agencies might not end with good maintenance.
ADP set to shrink significantly in interim govt’s revised budget
“So the government wanted to implement small projects with local consultation to improve ADP implementation rate and induce money to roll the economy,” he said.
According to the Implementation Monitoring and Evaluation Division (IMED), ADP implementation during the July-November period was 17.1% in the last fiscal, 2023-24, and 18.4% in 2022-23. Versus just 12.3% in the current 2024-25 fiscal, of the Tk 278,288.90 crore ADP passed by the AL government in its last budget.
After the fall of the Awami League government on August 5 in the face of a student-led uprising, the interim government led by Nobel Laureate Professor Muhammad Yunus was sworn in on August 8.
IMED data shows that ADP spending in the July-November period amounted to Tk34,214.55 crore, compared to Tk46,857.38 crore in the equivalent period of the previous fiscal year.
IMED officials cited delays in the review the interim government had initiated into all ongoing and newly proposed projects, along with increasing delays in the release of funds, as factors contributing to the slowdown in ADP implementation.
Additionally, many contractors abandoned projects after the interim government assumed power in early August.