FROM PAGE 16

However, excessive block allocations could lead to a breach of budget discipline. At times, other ministries may exert pressure to spend from block allocations through influence.

Ultimately, block allocations were kept against ministries or divisions for unapproved projects.

In the Tk 300,000 crore annual development programme (ADP), Tk 100,000 crore has been kept for unapproved projects and programmes, with Tk 66,000 crore reserved for education, health and local government.

But at the National Economic Council (NEC) meeting last month, where next fiscal year’s ADP was approved, two decisions were taken to ensure that funds from one sector are not spent in another.

Allocations can be reallocated among ongoing projects without changing the total allocation within the same ministry or division. However, funds cannot be transferred or reallocated from one ministry to another.

Inter-sectoral reallocations within the approved ADP will not be allowed.

At the NEC meeting, a list of 1,277 unapproved projects was approved for inclusion in next fiscal year’s ADP.

From this list, projects aligned with the government’s electoral manifesto will be incorporated into the ADP with allocations after approval by the Executive Committee of the National Economic Council (ECNEC).

New projects will be taken to fulfil promises made by the Members of Parliament for the development of their constituencies, said planning ministry officials. These project proposals will be scrutinised and then included in the ADP with allocations.

Block allocations have also been kept for others such as the Ministry of Water Resources and the Ministry of Agriculture.

In addition, Tk 20,000 crore has been reserved for development assistance under special needs and Tk 17,000 crore for social development assistance under special needs.

Of the Tk 17,000 crore, Tk 14,500 crore has been allocated to the Ministry of Social Welfare for the Family Card programme, Tk 1,400 crore to the Ministry of Agriculture for the Farmers’ Card programme, and Tk 1,100 crore to the Ministry of Religious Affairs for honorariums to imams of mosques and individuals serving religious institutions.

Since the beneficiaries of the programmes have not yet been identified, the allocations have been kept as block allocations.