NEC approves guidelines for PSDP allocations
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ISLAMABAD: National Economic Council (NEC) approved policy guidelines to include highly underdeveloped areas in Khyber Pakhtunkhwa and Balochistan provinces in priority list for fund allocation under Public Sector Development Programme (PSDP) in upcoming budget 2024-25.
In recent meeting, NEC directed that funds allocation should be made for water projects in line with true spirit of National Water Policy.
Council observed that funds allocation is primarily made on geographic basis. However, since population is also considered an important factor for fund allocation, it should be considered one of criteria for selecting areas for PSDP projects.
Earlier, NEC was informed that selection of underdeveloped areas/districts in country was based on criteria determined by Pakistan Bureau of Statistics (PBS).
It was observed that highly underdeveloped districts of Balochistan and K-P, including newly merged areas of erstwhile Federally Administered Tribal Areas had not been included in list of twenty least developed districts, while some relatively less underdeveloped districts had been included. Most deprived districts of Balochistan as well as newly merged areas of K-P needed special attention, particularly in education, health and infrastructure.
It was suggested to revisit criteria for selecting least developed districts for PSDP-funded projects. Furthermore, it was noted that provinces are also responsible for uplifting their underdeveloped districts. Therefore, there was proposal to share information regarding provincial annual development programme allocations and expenditures for these districts with NEC. NEC was informed that many areas of Sindh were greatly affected by 2022 floods, which needed special attention for rehabilitation.
There was dire need for provinces to adhere to National Water Policy and allocate sufficient funds in their ADPs for this purpose.
Published in The Daily National Courier, February, 29 2024
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