PTI releases record high disbursement funds for development sector
First time in recent history, disbursements of the Public Sector Development funds reach 19pc.
- For the first time in recent history, public sector development program has come so close to 20pc target of fund release for the first quarter.
- Funds worth Rs133 billion for development projects in the first three months are released by government as compared to Rs37.7bn of the same period last year.
In the first quarter of this fiscal year, the government of Pakistan is surging its pace of releasing disbursement funds for new projects. With the estimation of the first quarter, it has been observed that funds are 350pc higher than the corresponding time of last year.
On Friday, the planning commission notified that the funds worth of Rs133 billion had been released for the first quarter. These funds are released for development and infrastructure.
It’s a great progressive when it comes to the funds released last year at the same time.
Last year the government was in the political transmission process so the funds released were around Rs37.7bn.
First time in recent history
It is delightful to see that for the first time in recent history public sector development program has come so close to 20pc target of fund releasing for the first quarter.
It is a policy that the government should release 20pc each funds for the first two quarters while 30pc each for the remaining two quarters. Whereas, funds required for payments of salaries and pensions can go up to 25pc for each quarter.
Four major departments
During the first quarter of this fiscal year, 60 of the funds are allocated to four major departments that include security enhancement (Rs27bn), National Highway Authority (27bn), merged tribal districts of Khyber Pakhtunkhwa (Rs12bn) and water sector (14bn).
According to the data released by the planning commission, “Government has extended Rs55bn to the development programs of federal ministries so far”.
An amount of Rs5.74bn has been released to HEC during this fiscal year as compared to Rs4.6bn to the parallel time last year.
Furthermore, all the sectors that are allocated funds should try to meet quarterly targets.
What are your thoughts on this? Share with us in the comments bar below.