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Aid utilisation goes up

Implementation of foreign-aided projects accelerates 5 percentage points in Jul-Aug

Rejaul Karim Byron
The implementation of foreign-aided projects increased by 5 percentage points in July-August compared to the same period a year ago, due to a joint effort by the Economic Relations Division and donors.
The overall implementation of the annual development programme (ADP) went up because of more utilisation of foreign aid, even after ministries and divisions lagged in using the government funds.
In July-August, ADP utilisation was Tk 4,151 crore or 8 percent of the total allocation. The total allocation for the current fiscal year was Tk 55,000 crore.
In the same periodofthelast fiscal year, ADP utilisation was Tk 2,622 crore or 6 percent of total allocation.
In the current fiscal year, foreign aid utilisation is about 6 times higher than in the last fiscal year.
The government has intensified
its monitoring effort that helped implementation. Planning Secretary Bhuiyan Shafiqul Islam said.
The ministries had been advised to inform a high-powered panel about any problem in utilisation. The panel took steps accordingly, he said.
In the last fiscal year, utilisation of
foreign aid fell, which prompted both development partners and the government to take a number of steps.
Problems in foreign aid utilisation are discussed every three months at the Local Consultative Group, a platform of the local representatives of development partners.
Of all ministries and divisions,
the power division utilised 17 percent of its allocation to become the best performer, according to data from the Implementation Monitoring and Evaluation Division. The division also spent the highest foreign aid: 32 percent of its allocation.
Besides, the local government division and the Ministry of Primary and Mass Education utilised 13 percent of their allocations.
Among 10 large ministries and divisions, the performance of railways, roads, water resources and industries was poor.
The rail ministry utilised only 0.01 percent of its allocation, the roads division 0.13 percent and the industries ministry 1 percent.
The water resources ministry failed to utilise any fund in two months.
The information and communication technology, shipping, and civil aviation and tourism ministries also failed to use their allocated funds.