ISLAMABAD - The government has failed to meet the development funds disbursement target during first quarter of current fiscal year 2015 (FY15) owing to financial constraints, as it released only Rs 53.5 billion in July-September period against the set target of Rs 84.56 billion.

Following its previous tradition, the government released funds for Public Sector Development Programme (PSDP) at slower pace during first quarter of the ongoing financial year. Under the approved disbursement schedule, the government is supposed to release 20 per cent of total allocation in first three months of a fiscal year (July to September), which is estimated at Rs 84.56 billion. However, the government disbursed only Rs 53.5 billion in the aforesaid period.

However, the overall spending on PSDP is Rs 62.26 billion, which also included Rs 8.7 billion of the foreign exchange component during first quarter of FY2015. The size of federal PSDP is Rs 525 billion for the ongoing financial fiscal year 2014-15. The break-up of Rs 525 billion revealed that Rs 422.78 billion would come from government’s resources and Rs 102.22 billion from foreign aid.

According to the documents, the government has released Rs 42.8 billion out of total Rs 62.3 billion for the development projects of the 37 federal ministries, Rs 8.9 billion for two corporations, Rs 9.74 billion for special areas and Rs 770 million for the ERRA during July-September FY2015.

The break-up of Rs 42.8 billion released for the federal ministries showed that government has disbursed Rs 1.16 billion for Cabinet Division, Rs 274 million for the Capital Administration and Development Division, Rs 97.45 million for the Defence Division, Rs 187.47 million for the Defence Production Division, Rs 347.6 million for the Education, Training and Standards in Higher Education Division and Rs 730.48 million for the Finance Division.

Similarly, the government has released Rs 3.5 billion for Higher Education Commission, Rs 5.58 billion for National Health Services, Regulations and Coordination Division, Rs 14.31 billion for the Pakistan Atomic Energy Commission, Rs 7.5 billion for the Railways Division and Rs 6.7 billion for the Water and Power Division (Water Sector) during July-September FY2015.

Meanwhile, the government has released Rs 7.5 billion for National Highway Authority (NHA) and Rs 1.4 billion for WAPDA during July-September FY2015. The government had allocated Rs 111.56 billion for the NHA under PSDP and Rs 63.61 billion for WAPDA for the current fiscal year 2014-2015.

According to the documents, the government has released Rs 9.74 billion for the Special Areas. The break-up of the amount showed that Azad Jammu and Kashmir received Rs 2.12 billion, Gilgit Baltistan received 4.2 billion and SAFRON/FATA got Rs 3.42 billion during July-September FY2015.

However, the government failed to release single penny for Pakistan MDGS and Community Development Programme and Special Federal Development Programme/Projects for provinces & special areas during the first quarter of the ongoing fiscal year.