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Funds for human-capital development as dry as ever despite commitment for a must-have hike as the interim government sanctioned extremely low allocation for this purpose in the revised development budget.
Officials said Tuesday the total allocation for education and health services is nearly 55-percent lower than that for local government division (LGD) alone in the revised development budget for the current fiscal year (FY) 2024-25.
The Planning Commission has drafted a Revised Annual Development Programme (RADP) of Tk 2.16 trillion by slashing funds from the original outlay of Tk 2.65 trillion in the FY2025.
According to the PC, it is going to propose a total fund of some Tk 234.32 billion for health and primary, secondary and higher education in the forthcoming RADP.
On the other hand, the highest allocation of Tk 361.96 billion is going to the Local Government Division (LGD), the PC officials said.
Although the country's health services have been in a shambles over the years, prompting people to go abroad for better treatments, the post-uprising administration is going to cut its development budget by nearly half to Tk 56.69 billion in the RADP from its original Tk 111.53- billion outlay in the ADP.
Similarly, it is going to cut the fund allocation for primary and mass education to Tk 127.64 billion in the proposed RADP from Tk 161.35 billion in the current FY2025 ADP.
The PC is also going to propose a fund cut to some Tk 50 billion for the secondary and higher- education division in the RADP from Tk 113.88-billion ADP outlay.
A senior Planning Commission Member told the FE that they were under duress to trim the health ministry's allocation in the upcoming revised development budget by some 50 per cent owing to their "inefficiencies in project implementation".
The health services division during July-January period this fiscal spent only 5.15 per cent of its ADP outlay, 16-percentage-point lower than the average spending rate of 21.52 per cent.
"The project-execution rates of the primary and mass education ministry, and the secondary and higher-secondary division were also in the poor trajectory during the first seven months, resulting in the cuts from their allocations in the upcoming RADP," says the Member,
requesting anonymity.
On the other hand, Local Government Engineering Department (LGED) is much capable of implementing their projects in time, resulting in lower cuts in its allocation. The department is responsible for constructing infrastructure for socioeconomic development in the rural Bangladesh.
Meanwhile, Power Division is going to get Tk 214.75 billion in the RADP from its original Tk 337.17-billion outlay in the ADP for the current FY20205.
Roads and Highways Division is going to get Tk 186.24 billion, Science and Technology Ministry Tk 121.29 billion, Railway Ministry Tk 102.28 billion, Water Resources Ministry Tk102.11 billion, Shipping Ministry Tk71.54 billion and Bridges Division Tk58.48 billion in the RADP.
Among the sectors, the PC has proposed Tk 482.53 billion or 22.34 per cent for the Transport and Communications sector, Tk 318.98 billion or 14.77 per cent for the Power and Energy sector, Tk 203.49 billion or 9.42 per cent for the education sector and Tk 196.46 billion or 9.16 per cent for the Housing and Community Services sector in the upcoming RADP.
The commission will hold an extended meeting next week to finalise the Tk 2.16-trillion RADP for this fiscal year.
Out of the allocations, Tk 1.34 trillion will be provided from government's local resources and Tk 815.69 billion from external resources as project aid.
The National Economic Council is likely to convene later this month where the proposed RADP will be placed for approval.