Lawmakers disburse 96% of SAP funds in Pakistan

ISLAMABAD: The government released a high percentage of funds under a special program for parliamentarians in the first eight months of the current fiscal year, significantly boosting a slow development program. From July to February, 96% of the funds for the Sustainable Development Goals Achievement Program (SAP) were disbursed, compared to a lower overall Public Sector Development Program (PSDP) spending of 28.4% of its annual budget of Rs1.1 trillion. Total PSDP spending reached Rs312.3 billion during this period. The SAP funds were notably high—almost 140% of the original allocation of Rs25 billion. This was achieved despite a significant revenue shortfall of Rs600 billion during the same period. When excluding SAP, only 26% of the core PSDP funds were utilized. This year’s rapid release of SAP funds is unusual, as lawmakers typically face hurdles in securing these allocations. A government official noted that the SAP budget was increased to Rs50.773 billion, and nearly all of this amount was released quickly. Funding approval for the SAP was initially lower but increased at a meeting in November. The government has also relaxed rules to ensure quick disbursements to parliamentarians. These changes come alongside major salary increases for lawmakers. Despite these funds, overall PSDP spending remains concerning. Only 30% of the allocated budget for ministries and agencies has been used. Notable spending deficiencies are seen in vital sectors. For instance, the power sector accessed only 11% of its allocation, and climate change efforts have barely touched their budget. Many ministries also fell short in utilization, with some not spending anything at all. This trend raises concerns about the impact on economic growth and the living standards of citizens, as the country faces financial challenges and needs effective use of developmental resources.