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Adoption of interim PRSP suggested

Monday, 2 June 2008


A consultation on finalising the second PRSP Sunday recommended adopting an interim PRSP due to the absence of a political government in the country, reports UNB.

"Let the next political government adopt the full-fledged PRSP as the general election is due in next six months," eminent economist Prof Wahiduddin Mahmud told the consultation.

He put forward the suggestion amid questions raised by the civil society members, who took part in the consultation, on the legitimacy of the present government for having a policy paper like Poverty Reduction Strategy (PRSP).

General Economic Division of the Planning Commission organised the two-day consultation, beginning Sunday, on the first draft of the second PRSP for a period of FY09-11 at the NEC conference room.

The three-year first PRSP expires this month, without going through any monitoring and evaluation on its implementation.

Prof Mahmud, also the chairman of the Independent Monitoring Committee on PRSP, said they could not evaluate the implementation of the first PRSP due to non-availability of the committee members, including Prof Muhammed Yunus.

Chairing the consultation Sunday, he wondered whether a government like this could adopt a policy like PRSP. "Even if it is adopted, how the policy will be endorsed in absence of a parliament," he said.

A senior official, however, told the news agency that the document after finalisation through consultation would be submitted to the Council of Advisers for its endorsement. Prior to this, the Planning Commission would hold another consultation on the draft document with the development partners, he said.

Despite having some shortcomings, Prof Mahmud appreciated the hastily prepared draft document and suggested going for the interim PRSP.

Civil society members, including Prof M Nurul Islam of BUET and Dr Jafarullah Chowdhury of Gonosasthya Kendro, identified few issues that remain to be addressed in the draft document and called for addressing them for proper implementation.

They pointed out lack of a clear strategy to ensure neutral distribution of resources down to the poverty pockets, clear action priority and a clear strategy to strengthen local government institutions through cutting authority of the central government.

Prof Mahmud also pointed out that the draft document for the first time estimated an indicative cost for achieving goals and targets set out in second PRSP.

He, however, stressed the need for examining to what extent the indicative cost is consistent with the budget projections for the next three fiscal years.

The document estimated Tk 2500.90 billion to meet the total need for resources to undertake different reforms and achieve the goals and targets recommended in 18 thematic areas of PRSP during FY09-11.

In estimating the resource requirement, a micro/macro approach was taken. At the macro level, expenditure projection from the medium term budgetary framework was taken into consideration.

At the micro level, the cost of implementing the activities to achieve the desired goals and targets in each thematic area was taken into consideration.

These costs were indicative and identified in consultation with the relevant stakeholders in the relevant ministries. For some sectors, unit cost approach was taken, and in others, project approach was taken.