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Bangladesh

ADP implementation sinks to 50-year low

Daily Sun Report, Dhaka

Published: 31 Jul 2026, 12:00 AM

ADP implementation sinks to 50-year low
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The implementation of the Annual Development Programme (ADP) in the country fell to its lowest level in at least five decades in the just-concluded 2025-26 fiscal year (FY26), exposing persistent weaknesses in project execution and public investment management.
The Implementation Monitoring and Evaluation Division (IMED), in a report released on Thursday, said ministries and agencies spent just 67.52% of the revised ADP allocation during the year – the weakest performance since FY77.
Against a revised allocation of Tk208,935.53 crore, actual expenditure came to Tk141,707.80 crore, leaving nearly Tk67,228 crore unspent.
The rate slipped from 68.18% in FY25 and fell well short of the previous low of around 80%, recorded in FY20 amid Covid-19 disruptions. 
Notably, this year's decline came despite the revised allocation itself being the smallest since FY21.
IMED figures point to a steady slide in recent years: 92.74% in FY22, 85.17% in FY23, 80.63% in FY24, 68.18% in FY25, and now 67.52%.
Economists attribute the trend to structural problems – poor project readiness, procurement bottlenecks and land acquisition delays – warning that slow implementation both postpones vital infrastructure and social projects and inflates costs through repeated extensions, straining public finances.
Health was among the weakest sectors: the Health Services Division used only 31.15% of its Tk3,128.41 crore allocation, spending just Tk974 crore and leaving over Tk2,154 crore unused. 
The commerce ministry (32.69%), the environment, forest and climate change ministry (32.45%), and the health education and family welfare division (36.72%) also lagged badly. Eight agencies posted implementation rates below 40%.
The Parliament Secretariat fared worst of all, spending just Tk15,000 of its Tk20 lakh allocation – a rate of 7.50%. The Economic Relations Division managed 13.97%, the Internal Resources Division 17.42%, and the Election Commission Secretariat 29.90%.
June spending, traditionally the year's busiest month, reached Tk40,308.12 crore (19.29% of the revised allocation) – slightly down on the Tk43,189.10 crore (19.91%) spent in June the previous year.
IMED officials blamed administrative disruptions, weak project preparedness, procurement and land delays, and a reduced focus on development work during the election period. They noted that the previous year's political transition had stalled many projects as directors and contractors halted work, with the fallout continuing to weigh on implementation through FY2025-26.
Analysts warned that without stronger project planning, procurement systems and monitoring, timely delivery of infrastructure, health, education, agriculture and energy schemes will remain elusive – slowing growth and jeopardising long-term development goals.


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