Development spending 61% below target

The interim government spent Rs191 billion on development projects during the first seven months of this fiscal year – a sum that is over Rs300 billion or 61% less than the target and underscores the implications of tough economic conditions. The Ministry of Planning reported on Tuesday that the development expenditures amounted to just under Rs191 billion during July-January period of the current fiscal year. Its one-page summary sheet showed that the expenditures were equal to just 38% of the amount that the planning ministry had authorised for the spending for this period. Under the Development Funds Releases Strategy, the government was required to spend Rs494 billion or 52% of the total annual budget during the first seven months of the fiscal year. But the actual spending was Rs300 billion less than the target.