NEC approves Tk 658.70b ADP for next fiscal

---

FE Report The government approved Tuesday Tk 658.70 billion Annual Development Programme (ADP) for the next fiscal increasing the year-on-year cost by 26 per cent ahead of the national election. It has also incorporated a Tk 81.14 billion expenditure target of the state-owned autonomous organisations and corporations from their own funds with the Tk 658.70 billion ADP allocation for the next fiscal which inflated the development budget size to Tk 739.80 billion. Presided over by Prime Minister Sheikh Hasina, the country's highest economic policy making body -- National Economic Council (NEC) approved the ADP for the upcoming financial year (FY) 2013-14 at its meeting. In the outgoing financial year (FY) 2012-13, the government formulated a Tk 523.66 billion revised ADP to implement 1205 development projects of different state-owned agencies. After the meeting, Planning Minister AK Khandker said the NEC has approved Tk 739.84 billion ADP with Tk 81.14 billion funds of the autonomous bodies and corporations incorporated in the Tk 658.70 billion original ADP outlay. Out of the Tk 658.70 billion ADP, Tk 413.07 billion, or 62.70 per cent, will be provided from the government's own fund and Tk 245.63 billion, or 37.30 per cent out of external assistance as project aid, he told journalists after the NEC meeting at the Planning Commission in the city. The transport sector has been given the highest priority in the proposed Tk 658.70 billion ADP as it has received Tk 153.74 billion, or 23.34 per cent allocations with Tk 68.52 billion funds for the Padma Bridge Project. The power sector has received the second highest Tk 90.53 billion or 13.74 per cent of the total outlay; education and religion sector third highest at Tk 87.66 billion or 13.31 per cent; and the rural development and rural institutions fourth highest at Tk 66.22 billion or 10.05 per cent allocations of the total outlay. Besides, the infrastructure planning, water supply and housing sector will receive Tk 54.54 billion or 8.82 percent; health, nutrition, population and family welfare sector Tk 42.40 billion, or 6.44 per cent; and the agriculture sector Tk 37.21 billion or 5.65 per cent allocations of the total outlay. The government agencies will implement 1007 projects under the Tk 658.70 billion proposed ADP. Out of the projects, 996 have been included from the ADP of the outgoing FY2012-13 and 50 are newly approved ones. The newly approved ADP projects also incorporate 130 projects of the state-owned autonomous organisations/corporations, to be implemented by their own funds. About the inflated Tk 739.84 billion ADP size, AK Khandker said since the fund of the state-owned autonomous organisations/ corporations has also been spent for development works of the country we have incorporated it in the development budget. "It (the fund) has not been included in the development budget for political purpose. People have the right to know about the expenditure of the state-owned organisations," he added. Planning Secretary Bhuiyan Shafiqul Islam said the actual size of the ADP is Tk 658.70 billion where Tk 81.14 billion expenditure targets of the state-owned autonomous bodies and corporations have been included. "You (journalists) can either write the new ADP size is Tk 658.70 billion or Tk 739.84 billion. It's up to your choice," he added. Usually, the state-owned autonomous bodies and corporations undertake some projects at their own earnings and implement those with the approval of their boards and mother ministries. In the past, their expenditures were not incorporated in the ADP outlay. Some of the projects of the state-owned autonomous bodies and corporations are also implemented by the funds from the government which need approval of the Planning Commission or the Executive Committee of the National Economic Council (ECNEC). Out of the total 1007 projects included in the Tk 658.70 billion ADP, 305 would be completed within the next FY2013-14 while the rest will be completed later. Besides, the ADP of the next fiscal will also include 661 non-approved projects without allocations, 346 non-approved projects expecting foreign assistance and 44 projects for implementation under public-private partnership (PPP).