Bangladesh's development programme slows to 53-year low: Report
New Delhi, Aug 12
Bangladesh has recorded another weak year in implementing its Annual Development Programme with only 67.5 per cent of the revised ADP implemented in FY 2025-26 -- the lowest in 53 years, according to an article in Dhaka-based The Daily Star.
The previous fiscal year also ended with an exceptionally weak implementation rate of 67.85 per cent, according to the data from the country's Implementation Monitoring and Evaluation Division (IMED).
Yet these numbers tell only part of the story. The more important question is what this reveals about the resilience of Bangladesh's development governance.
Bangladesh implemented 92.79 per cent of its revised ADP in FY2021-22, 84.16 per cent in FY2022-23 and 80.63 per cent in FY2023-24. The trajectory changed significantly over the following two fiscal years, with implementation falling to around 68 per cent.
While one year's weak performance may be explained by exceptional circumstances, two consecutive years following three years of much stronger implementation deserve a broader reflection, the article observes.
How did Bangladesh's development governance, which achieved more than 92 per cent implementation just a few years ago, become so vulnerable to disruption?
The article attributes the poor performance to the political transition of August 2024, together with mounting macroeconomic pressures, foreign exchange shortages and tightening fiscal conditions, placing Bangladesh's public investment system under exceptional pressure.
It also highlights that public investment system also failed to respond to these shocks effectively because of long procurement delays, unresolved land acquisition, repeated design revisions, weak coordination among implementing agencies, and limitations in project management capacity.
If development governance struggles to sustain implementation when financing becomes constrained, administrative priorities shift or external conditions deteriorate, the challenge extends beyond the fiscal year. It raises a more fundamental question about whether Bangladesh's development ambitions are supported by institutions resilient enough to sustain them, the article observes.
Recent fiscal trends also illustrate why resilience begins with realistic financing. Domestic revenue mobilisation has remained under pressure, external financing has become less predictable and fiscal space has become increasingly constrained. These realities inevitably affect development spending, the article added.
— IANS
Reader Comments
The political transition in August 2024 has clearly disrupted everything. But what's concerning is that they're blaming external factors when the real issue is internal governance — procurement delays, land acquisition problems, design revisions. We see the same issues in India too. Governments need to streamline processes, not just throw money at projects.
Interesting to see how Bangladesh's development story is slowing down. As an Indian, I've always admired their progress in infrastructure and social indicators. This 53-year low is worrying — it means their people will suffer the consequences. We should watch this closely because regional stability depends on our neighbours doing well too.
The article's point about resilience is spot on. It's not just about funding — it's about having the institutional capacity to adapt when conditions change. Bangladesh's drop from 92.79% to 67.5% in just a few years shows they were riding on favourable conditions rather than building robust systems. A lesson for all developing economies.
We in India face similar issues with our own development projects — land acquisition delays, cost overruns, and red tape. Bangladesh's struggle with these same problems should make us reflect. The real issue isn't just financing; it's about creating a system where projects can actually be delivered on time and within budget. Without that, no amount of money will help.
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.