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The interim government is slashing allocations for several major development projects in the Revised Annual Development Programme (RADP), cutting over Tk 120 billion from eight of the top 10 priority projects due to slow progress and fiscal constraints.
According to planning ministry sources, allocations for the Rooppur Nuclear Power Plant project will remain unchanged, while funding for the Dhaka–Ashulia Elevated Expressway will be increased.
They, however, said allocations for the remaining eight major projects are being reduced.
The National Economic Council (NEC) is expected to approve the revised ADP at its meeting on Monday, to be chaired by Chief Adviser of the interim government Professor Muhammad Yunus.
A senior official at the Planning Ministry said large projects often receive high allocations at the start of the fiscal year, but full utilisation becomes difficult due to low implementation progress.
He added that weak revenue collection has also contributed to the need for budget cuts.
Projects facing reduced allocations include MRT Line-6, MRT Line-1, MRT Line-5 (North), the four-lane highway from Hatikumrul in Sirajganj to Rangpur, the Dhaka–Sylhet four-lane highway, Matarbari Port Development, expansion of Hazrat Shahjalal International Airport, and the Bus Rapid Transit (BRT) project from the airport to Gazipur.
In the current ADP, Tk 86.31 billion was allocated for MRT Line-1. Under the revised ADP, the allocation is proposed to be reduced to Tk 8.01 billion, a cut of Tk 78.3 billion.
The allocation for the extension of MRT Line-6 from Motijheel to Kamalapur is being reduced from Tk 13.47 billion to Tk 10.23 billion. Funding for MRT Line-5 (North) is proposed to be lowered from Tk 14.9 billion to Tk 5.92 billion.
The allocation for the Matarbari Port Development Project is proposed to be reduced from Tk 40.86 billion to Tk 10.85 billion.
The Dhaka–Sylhet four-lane highway project will see a reduction of Tk 550 million, with Tk 16.68 billion proposed in the revised ADP.
The expansion project of Hazrat Shahjalal International Airport will have its allocation reduced by Tk 7.33 billion to Tk 3.06 billion.
The BRT project from the airport to Gazipur will see its allocation reduced by Tk 2.56 billion to Tk 1.68 billion.
The four-lane highway project from Hatikumrul to Rangpur will have Tk 3.1 billion cut, with Tk 15.62 billion proposed in the revised ADP.
The Rooppur Nuclear Power Plant project will retain its original allocation of Tk 100.11 billion.
Meanwhile, the allocation for the Dhaka–Ashulia Elevated Expressway project is being increased by Tk 11.34 billion, bringing its total allocation to Tk 44.76 billion in the revised ADP.
Overall, about Tk 300 billion is being cut from the current fiscal year’s ADP. Planning ministry officials said the revised ADP size may be set at Tk 2 lakh crore, down from the original Tk 2.30 lakh crore.
Funding from domestic sources is proposed to be reduced from Tk 1.44 lakh crore to Tk 1.28 lakh crore, while project aid will be lowered from Tk 860 billion to Tk 720 billion.
The current ADP includes 1,171 projects.
Last year, the revised ADP was reduced by Tk 490 billion, bringing its size to Tk 2.16 lakh crore.