Rs1,001bn for federal PSDP
ISLAMABAD: For the first time in the history of Pakistan, the outlay for the federal Public Sector Development Programme (PSDP) has crossed Rs1 trillion mark with an allocation of Rs1,001 billion for 2017-2018, marking 40 per cent increase in development expenditure as compared to outgoing year’s allocations.
An amount of Rs1.112trn has been earmarked for provincial annual development programmes, which is 37 per cent higher than the outlay of 2016-17.
With multi-dimensional interventions in the arena of socio-economic development, the government hopes that Pakistan will become one of 25 large economies of the world by 2025.
Projects under the China-Pakistan Economic Corridor have been assigned high priority to ensure their timely completion.
An allocation of Rs180 billion has been made to meet any additional requirement, particularly for projects being undertaken in engineering, procurement and construction mode.
The infrastructure sector has been allocated 67 per cent of the total development budget. The highest priority has been accorded to the transport and communications sector with an allocation of Rs411bn. The energy sector has been accorded due priority where Rs404bn will be invested.
The amount has been allocated for power sector development, including an investment of Rs317bn to be undertaken by the Water and Power Development Authority. A new programme titled ‘Energy for All’ is being introduced with an initial outlay of Rs12.5bn.
Allocations made for some key projects include Rs76.5bn for two liquefied natural gas-based power plants at Balloki and Haveli Bahadur Shah to produce 2,400MW, Rs54bn for Dasu hydro power project, Rs21bn for Diamer-Bhasha dam, Rs19.6bn for Neelum-Jhelum hydro power project, Rs16.4bn for the fourth extension of Tarbela hydel project and Rs16.2bn for 1,200MW coal-fired power plant at Jamshoro.
An allocation of Rs38 billion has been made for development of the water sector. Key projects such as extension of Right Bank Outfall Drain (RBOD-II), RBOD-I and Kachi canal will be given the highest share in the water sector portfolio. Priority will be given to completion of Kachi canal. Collectively, the three projects have been allocated Rs17.7bn.
A massive amount of Rs320bn has been allocated for national highways for 2017-18 against Rs188bn allocation of the outgoing fiscal.
An allocation of Rs42.9bn has been made for development of railways sector. Key projects include procurement of 75 locomotives, manufacturing of 830 high-capacity freight wagons and 250 passenger coaches and improvement and up-gradation of Peshawar-Karachi track (ML-1).
Published in Dawn, May 27th, 2017