APCC on Budget: Rs10tr needed for ongoing projects, says Ahsan Iqbal

ISLAMABAD: Federal Minister for Planning and Development Ahsan Iqbal said that nearly Rs10 trillion would be required to complete ongoing development projects across Pakistan, stressing that increasing resources for the development sector had become essential. Ahsan Iqbal said that the development spending had remained stagnant over the past eight years, affecting the timely completion of multiple projects. He made these remarks while talking to the reporters after chairing Annual Plan Coordination Committee (APCC) meeting that was held under the chairmanship of Federal Minister for Planning and Development Ahsan Iqbal to review development priorities and macroeconomic targets for the upcoming fiscal year. The minister said that between 2013 and 2018, Pakistan witnessed a steady rise in development allocations, during which major infrastructure and technology projects were launched, while spending even exceeded targets in 2018. However, he noted that a decline in development funding began after 2018 and continues to affect the sector. The minister said development investment in Pakistan had declined from 2.6 percent of GDP to just 0.6 percent. He added that work is currently underway on project PC-I proposals worth Rs5 trillion, while new project proposals worth Rs720 billion for the next fiscal year are also under consideration. Ahsan Iqbal said timely completion of ongoing development schemes remains a top government priority. He further stated that provincial governments now have comparatively greater fiscal space, while the federal government faces financial constraints. A large portion of the federal budget, he said, is consumed by debt servicing, leaving limited resources for development expenditure. According to Planning Commission documents, the federal government is expected to allocate around Rs1,126 billion for development projects in the next fiscal year. Sector-wise estimates suggest Rs135 billion for energy projects, Rs140 billion for water resources,