Dhaka: Bangladesh’s Annual Development Programme (ADP) implementation has reached a concerning low in the first half of the 2025-26 fiscal year, underscoring ongoing challenges in executing development projects. Official data from the Implementation Monitoring and Evaluation Division (IMED) of the Planning Ministry reveals that only 17.54 percent of the original ADP allocation was executed between July and December of FY26, marking one of the weakest first-half performances in five years.
According to United News of Bangladesh, the total ADP allocation for FY26 was set at Tk 2,38,695 crore, yet actual implementation during the first six months amounted to just Tk 41,876 crore. This shortfall highlights persistent delays in procurement, land acquisition, fund release, and decision-making across various ministries and agencies. Despite the steady increase in ADP size over recent years, with allocations rising from Tk 2,36,793.09 crore in FY22 to Tk 2,78,288.90 crore in FY25, higher allocations have not resulted in faster execution.
IMED statistics indicate that first-half implementation rates have remained low for several consecutive years. Implementation rates were 17.97 percent in FY25, 22.48 percent in FY24, 23.53 percent in FY23, and 24.06 percent in FY22. This declining trend points to a structural issue rather than a temporary setback. December, traditionally a strong month for ADP execution, also saw sluggish spending, with projects worth Tk 13,833.25 crore implemented, accounting for 5.80 percent of the total ADP.
Planning Ministry officials, who chose to remain anonymous, attributed the poor performance to familiar obstacles such as slow procurement processes, delays in approving development project proposals (DPPs), land acquisition complications, shortages of skilled project directors, and cautious spending amid tighter fiscal conditions. They noted that persistently low ADP implementation undermines growth, job creation, and service delivery, particularly when private investment is subdued.
‘The ADP is the government’s main fiscal tool to stimulate the economy. If implementation remains below 20 percent at mid-year, it puts enormous pressure on the remaining months and often leads to wasteful year-end spending,’ a planning ministry official stated. Planning Adviser Professor Wahiduddin Mahmud expressed concerns over the sluggish pace of development project implementation, predicting it will likely continue through the current fiscal year, with potential improvement only in the next fiscal.
Professor Mahmud noted that while project quality has improved, overall development spending remains constrained by structural, administrative, and political factors. ‘The government has focused on improving the quality of development spending and strengthening accountability, even though these reforms have slowed project execution in the short term,’ he added.