ADP outlay cut

As in previous years, the final outlay for Annual Development Plans (ADP) in the 2014-15 fiscal will suffer a cut.

Planning minister AHM Mustafa Kamal's promises notwithstanding, the ADP outlay will be sliced by Tk 54.74 billion.

After the cuts, the ADP budget for 2014-15 FY will stand Tk 748.41 billion.

The local currency component will stand at Tk 499.41 while the foreign aid component will be Tk 249 billion.

This will be finalised in the Tuesday meeting of the National Economic Council (NEC) to be chaired by Prime Minister Sheikh Hasina, Planning Commission member Shamsul Alam said.

"When the plans are finalised a year ago, it is difficult to predict many things including the political situation. So towards the end of the fiscal year, cuts in the ADP becomes necessary," Alam said.

He denied that the political turmoil was adversely impacting the implementation of the ADP.

"I don’t think that is happening. People are out on the streets, everything is normal, the wheels of our economy are moving," Alam said.

He clarified that those departments who has utilised their allocated funds properly will be given more, while who have not performed well will suffer cuts.

The initial ADP outlay for 2014-15 FY was finalised at Tk 803.15 billion. But due to poor utilisation of certain departments, the final outlay will stand slashed by Tk 54.74 billion.

Planning Minister Kamal has done much to ensure proper utilisation of the ADP outlay from the beginning of the financial year.

He visited key projects, organised several review meetings with concerned officials and pushed hard.

But that seems to have not wholly paid off.

Even as late as Jan 8, Kamal promised total utilisation of the ADP outlay.

But he seems to have ended up much the way like his predecessors.