Bangladesh approves Tk 2.05 trillion development spend for FY21

  • Staff Correspondent, bdnews24.com
    Published: 2020-05-19 16:49:57 BdST

bdnews24

The National Economic Council has approved the annual development programme for fiscal 2020-21 with a Tk 2.05 trillion outlay, which is 6.22% more than the revised ADP for the current fiscal year.

Bangladesh will spend the funds on 1,584 projects, with the transport sector receiving the highest allocation of Tk 521.83 billion or 25.44%, according to a summary of the new ADP released by Planning Minister MA Mannan at a media briefing in Dhaka on Tuesday.

Separately, autonomous organisations and corporations will spend Tk 94.66 billion for 89 projects. That brings the size of the ADP to Tk 2.14 trillion.

Prime Minister Sheikh Hasina presided over a meeting that approved the ADP for the year starting July 1.

For the fiscal year ending June 30, Bangladesh initially announced Tk 2.02 trillion development spend, which was reduced to Tk 1.93 trillion in March.

Speaking to the media after the meeting, Planning Minister Mannan said the outlay will be used to finance 1,584 projects during the next fiscal year.

"We have set a target of drawing Tk 346.43 billion from internal resources and another Tk 705.02 billion from external one to make the allocation for the next fiscal year," he said.

Bangladesh is currently grappling a worsening coronavirus outbreak and shoring up the healthcare sector is a priority for the government, according to the minister.

"The healthcare sector is vital to us during the pandemic and we have attached a lot of importance to it."

"But it is not possible to provide a maximum allocation to the health sector as we must also take into the capacity of the sector. We can't just allocate money for it. The funds must be properly implemented too."

The government has accordingly allocated Tk 130.33 billion for the health sector, up from last year's Tk 101.08 billion, said Mannan.

The allocation for the agricultural sector has also seen an increase of Tk 17.58 billion as the country aims maintain food security during the ongoing crisis.

"At the meeting, the prime minister highlighted health and agriculture as the two most important sectors during the pandemic. If either of these sectors require any special allocations or project approvals, these will be fast-tracked by the government."