Around 17.06 percent of the government's annual development programme (ADP) for the current fiscal year of 2023-24 was implemented in the first five months, the lowest in the past eight years.

The government managed to spend Tk 46,857 crore from its ADP budget in the July-November period of fiscal year 2023-24, according to data from the Implementation Monitoring and Evaluation Division (IMED).

It was 18.41 percent or Tk 47,122 crore in the same period of fiscal year 2022-23.

As for the reasons, IMED Secretary Abul Kashem Md Mohiuddin cited ongoing austerity measures and slowdown in government activities for the upcoming January 7 national elections.

"The ADP implementation usually loses pace before national elections as the top government officials get engaged in election activities…money disbursement also slows down," he said.

Mohiuddin explained that due to a slowdown in money disbursement, the spending might seem to be low but development activities had not stopped.

Between July and November this year, the implementing entities spent Tk 27,291 crore from the government's portion of the ADP, down 1.76 percent year-on-year.

Meanewhile, spending from foreign loans stood at Tk 18,023 crore, which was an increase considering the fact that in the previous year it was Tk 17,749 crore.

Spending by state-owned enterprises came down to Tk 1,544 crore in FY24 whereas it was Tk 1,924 crore in FY23.

Though there has been no directive on restricting expenses in the health and education sectors, development expenditure in the segments has remained the lowest.

"We have already talked with a newly appointed health secretary about the sluggish progress. Hopefully, we will see progress soon," said the IMED secretary.

Among the 15 highest allocation recipients in the ADP, the shipping ministry performed the worst in implementation, with its spending standing at Tk 661.99 crore, which accounts for only 6.66 percent of its allocation.

In this regard, the IMED secretary said, "We have to look into it."

The secondary and higher education division came in second, spending only 9.85 percent of its allocation.

The Ministry of Civil Aviation and Tourism was the top performer as it spent 27.06 percent of its budget.

The railway ministry followed suit, with its expenditure standing at 26.96 percent, followed by the agriculture ministry with a 25.56 percent spending.

"We have strengthened our monitoring so that the ADP implementation increases as much as expected…After holding the election, the implementation will gain pace," hoped Mohiuddin.

The upcoming election may be a reason for the slow implementation, Muntaseer Kamal, research fellow of the Centre for Policy Dialogue, told The Daily Star.

"But the government's ADP implementation rate is traditionally slow at the start of the fiscal year," he said.

Meanwhile, the ongoing limits on imports may also be another reason, he said.

However, the higher spending from foreign loan is a positive aspect as it has increased both in amount and rate year-on-year, he added.