NEC trims ADP budget by 18pc to Tk 2.16 lakh crore
Staff Reporter :
The National Economic Council (NEC) has revised the Annual Development Programme (ADP) for the 2024-25 financial year, reducing it from Tk 2.65 lakh crore to Tk 2.16 lakh crore.
The decision was approved during an NEC meeting held on Monday at the NEC Conference Room in Sher-e-Bangla Nagar, Dhaka. The meeting was chaired by NEC Chairperson and Chief Adviser, Prof Muhammad Yunus.
Speaking at a post-NEC briefing, Planning Adviser Wahiduddin Mahmud stated that the overall spending reduction of 18 per cent was determined based on the expenditure trends of various ministries and divisions.
He noted that the Chief Adviser emphasized the importance of maintaining economic stability while accelerating the implementation rate of development projects.
Dr Mahmud further reported that the ADP implementation rate stood at 21.52 per cent during the July-January period of FY25, significantly lower than the 30 per cent average recorded in previous fiscal years. He urged ministries, divisions, and implementing agencies to intensify their efforts to enhance execution rates.
To ensure greater efficiency, Dr Mahmud highlighted plans to increase transparency in the tender process. He also underscored the need for higher investments in health and education, advocating for the recruitment and training of more doctors and nurses.
Among the 57 ministries and divisions, the RADP allocation was increased by 17.28 per cent for eight of them, while the remaining 49 experienced a 28.71 per cent reduction.
The Revised Annual Development Programme (RADP) includes 1,437 projects, categorised as follows 1,212 investment projects, 28 survey projects, 112 technical assistance projects and 85 projects financed through own funds. Additionally, 313 projects are scheduled for completion within the current fiscal year.
The five sectors receiving the highest RADP allocations are Transport and Communication – Tk 48,253 crore (22.34 per cent), Power and Energy – Tk 31,898 crore (14.77 per cent), Education – Tk 20,350 crore (9.42 per cent), Housing and Community Facilities – Tk 19,653 crore (9.09 per cent) and Local Government and Rural Development – Tk 16,909 crore (7.83 per cent).
The RADP also includes 78 projects under the Public-Private Partnership (PPP) initiative and 232 projects funded by the Climate Change Trust Fund.
The government remains committed to ensuring the effective utilization of resources while prioritizing key sectors to drive economic stability and development.