Good projects to get proper allocation, new directors if needed
The decisions came following the interim government's decision to cancel 10 ongoing projects with a total budget of Tk5,067 crore, citing their politically driven initiation, lack of importance, and redundancy
The government has directed authorities to allocate sufficient funding for projects identified as effective and beneficial and to appoint qualified project directors where necessary.
This directive follows instructions from the chief adviser during the National Economic Council Executive Committee (Ecnec) meeting held on 25 November, according to a letter issued by the Planning Division to all ministries and divisions 19 December.
Planning Adviser Wahiduddin Mahmud in various press briefings said that during the previous Awami League government, many projects were initiated based on personal or group interests.
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Contractors often influenced the project selection process, he said, highlighting the need for reassessing ongoing projects to identify and prioritise the most impactful ones.
To address this, the Planning Commission is reviewing ongoing projects across its divisions, and ministries and divisions have begun re-evaluating them. Some final reports have already been completed.
For instance, the Agriculture, Water Resources, and Rural Institutions Division has proposed canceling 67 non-essential or politically motivated schemes, along with 10 entire projects.
Besides, The commission has identified 204 projects as high priority, 112 as medium priority, and 55 as low priority for implementation.
Ecnec meeting on 25 Nov
On 25 November, after the Ecnec meeting, the planning adviser told the media that the current interim government has prioritised corruption-free implementation of ongoing projects since assuming office.
Moving forward, special emphasis will be placed on expediting effective ongoing projects, particularly those with newly appointed directors, he said.
Efforts will focus on ensuring that delays in implementing the Annual Development Program (ADP) are addressed within the remaining months of the fiscal year, added the adviser.
He mentioned that increasing public investment will be prioritised in development expenditure, noting a current stagnation in private sector investments caused by political instability and unrest.
"This has made maintaining production in the private sector increasingly challenging, particularly in sectors like ready-made garments that are facing labour movements," he added.
He also pointed out that rising interest rates have discouraged entrepreneurs from making new investments. Without an increase in public investment to counterbalance the private sector's slowdown, there is a risk of an economic downturn.
