ISLAMABAD: Against a total downward revised allocation of development outlay of Rs1.096 trillion, the federal government has so far utilised only 54 percent funds to the tune of Rs0.593 trillion in the first 11 months of the outgoing fiscal year.
The controversial SDGs Achievement Programme for parliamentarians, meant for only treasury benches, utilised 71 percent funds equivalent to Rs35 billion against the revised allocation of Rs48 billion in the outgoing fiscal year.
According to official data available with The News, the pace of utilisation of development funds was just 54 percent in the first 11 months but with only one month left, it is yet to be seen how much funding is going to be utilised in the outgoing fiscal year ending on June 30, 2025.
Now the government is all set to allocate Rs1 trillion for Public Sector Development Programme (PSDP) in the next budget for 2025-26. The Annual Plan Coordination Committee (APCC) is all set to consider the next PSDP on Monday (today). The development spending of Rs1.4 trillion had been allocated for PSDP along with Public Private Partnership but it was revised downward twice to Rs1.25 trillion and then reduced to Rs1.096 trillion.
In the first 11 months (July to May) 2025-26 period, the government sanctioned Rs0.64 trillion out of which the rupee component spending on development budget stood at Rs0.47 trillion in the first 11 months. The foreign exchange component was envisaged at Rs226 billion for the whole fiscal year out of which the utilisation stood at Rs0.123 trillion in the first 11 months of CFY.
The sources said that the release of funds remained slow in the first half of the CFY due to which the development schemes could not get momentum.
The government is now going to allocate PSDP funding of Rs1 trillion against the ministries demand of Rs3 trillion. The Planning Ministry argued to increase the PSDP up to Rs1.6 trillion for completion of certain ongoing schemes but finally the allocation was proposed at Rs1 trillion. Initially, the Finance Ministry had given indicative budget ceiling of Rs0.921 trillion but later on it was increased up to Rs1 trillion for the next budget.
