ISLAMABAD: The development spending has remained dismally slow in the first half (July-Dec) of the current fiscal year, resulting in sluggish economic activities despite achieving macroeconomic stability under the IMF programme.
Official data released by the Ministry of Planning shows that the discretionary funding for parliamentarians under the Sustainable Development Goals Achievement Programme (SAP) clinched one of the largest utilisations of the funds, as out of the total allocation of Rs70.2 billion, the utilisation stood at Rs30 billion for undertaking the parliamentarians’ scheme in their respective constituencies.
With the existing pace, the SAP for parliamentarians will be fully utilised, making it an exception among the list of the Public Sector Development Programme (PSDP) having total of over 800 development schemes in totality.
Out of the total allocation of Rs685.9 billion for all ministries/divisions in the shape of PSDP, the utilisation of development funds stood at Rs156.27 billion in the first six months of the current fiscal year.
The dismally low public sector investment had caused sluggish economic activities on the back of low investment from both the public and private sectors. When the economic slowdown occurred the public sector investment created demand and appetite for increased economic activities. Now the business tycoons are raising hue and cry that the slow economic activities were multiplying their economic woes. One of the indicators is decreased consumption of electricity which also faces the challenge of rampant increase in shape of solarisation at rooftops.
The Board of Investment utilised Rs67 million, Climate Change Division Rs342 million, Communication Division (other than NHA) Rs12.89 million, Commerce Division no mention of any amount, Defense Division Rs2.5 billion, Defense Production Rs224 million, Federal Education and Professional Training Rs7 billion, Finance Division Rs422 million, Provinces and Special Areas Rs44.42 billion, Establishment Division no mention of any amount, Higher Education Commission Rs10.6 billion, Housing and Works Division Rs951.9 million, Human Right Division Rs7.99 million, Industries and Production Division Rs216.7 million, Information and Broadcasting Division Rs341 million, InformationTechnology Rs2.4 billion, Inter Provincial Coordination Rs247 million, Interior Division Rs1.78 billion, National Health Services Rs3.199 billion, Planning, Development and Special Initiative Rs6.991 billion, Railways Division Rs6.6 billion, Revenue Division Rs1.789 billion, Science and Technology Rs476 million.
The development funds for the Special Investment Facilitation Council (SIFC) were released Rs86.13 million.
The Water Resource Division utilised funds of Rs30.998 billion in the first six months of the current fiscal year.
For Corporations, the total allocation of development funds stood at Rs314 billion. So of ministries/division and corporations stood at Rs209 billion in the first six months against total allocated amount of Rs1000 billion.
It shows that almost 20 percent funds were utilised in the first half of the current fiscal year and now the remaining 80 percent funds are going to be utilised in an indecent haste compromising the quality of spending in a big way.
