Bangladesh’s Annual Development Programme (ADP) implementation has dropped to an alarmingly low level in the first half of 2025–26 fiscal year, highlighting persistent weaknesses in project execution.
Official data from the Implementation Monitoring and Evaluation Division (IMED) of the Planning Ministry show that only 17.54 percent of the original ADP allocation was implemented during July–December of FY26, marking one of the weakest first-half performances in the last five years.
Against a total ADP allocation of Tk 2,38,695 crore for FY26, actual implementation during the first six months stood at Tk 41,876 crore.
The figures point to continuing delays in procurement, land acquisition, fund release and decision-making across ministries and agencies.
Although the size of the ADP has increased steadily in recent years – Tk 2,36,793.09 crore in FY22, Tk 2,56,003.27 crore in FY23, Tk 2,74,674.02 crore in FY24 and Tk 2,78,288.90 crore in FY25 – higher allocations have not translated into faster execution.
IMED statistics show that first-half implementation rates have remained subdued for several consecutive years.
During July–December, implementation stood at 17.97 percent in FY25, 22.48 percent in FY24, 23.53 percent in FY23 and 24.06 percent in FY22. The declining trend suggests a deepening structural problem rather than a one-off setback.
Spending also remained sluggish in December, traditionally one of the stronger months for ADP execution.
In December 2025, ministries and agencies implemented projects worth Tk 13,833.25 crore, accounting for 5.80 percent of the total ADP.
Planning Ministry officials, speaking on condition of anonymity, blamed familiar obstacles for the poor performance, including 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 said persistently low ADP implementation undermines growth, job creation and service delivery, especially at a time when private investment remains 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 said.
Planning Adviser Professor Wahiduddin Mahmud on Monday said the country’s sluggish pace of development project implementation is likely to continue through the current fiscal year, with prospects of improvement only in the next fiscal.
“The implementation slowdown that we had hoped would be temporary has unfortunately continued this year as well,” he told reporters after a meeting of the National Economic Council (NEC), which approved the Revised Annual Development Programme (RADP) for FY26 with a total size of Tk 2,08,935 crore.
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He also said project quality has improved, but 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.