Just Rs5.3bn spent on development in July-Aug

The Public Sector Development Programme (PSDP) has had a sluggish start this fiscal year, with only Rs5.3 billion spent in the first two months, a mere 0.5 per cent of the Rs1 trillion allocated for the year. This slow pace of expenditure, despite the closure of hundreds of projects to focus on strategic ones, raises concerns about the timely completion of vital infrastructure and social development projects. According to the Ministry of Planning and Development, the total PSDP expenditure for July and August 2025 amounted to Rs5.3bn. The Ministry of Finance had established a quarterly spending framework, aiming for 15pc of the total allocation to be disbursed in the first quarter. However, actual spending has significantly underperformed, with just Rs5.3bn being spent from an authorised Rs155.56bn.