The federal government utilized less than half of its development budget during the first nine months of the current fiscal year, with overall spending under the Public Sector Development Programme (PSDP) reaching just 41.5 percent, according to official data.
Figures from the Ministry of Planning and Development showed total PSDP spending stood at Rs415 billion between July and March, against an annual allocation of Rs1 trillion. Even after the budget was reduced by Rs90 billion to finance fuel subsidies, utilization rose only slightly to 45.6 percent of the revised Rs910 billion allocation.
In contrast, schemes linked to ruling parliamentarians recorded significantly faster spending. Under the Sustainable Development Goals Achievement Programme (SAP), nearly Rs44 billion — around 70 percent of the revised Rs63.24 billion allocation — was spent within roughly four months, making it the fastest-moving component of the development portfolio.
Under the government’s own quarterly release plan, PSDP spending was expected to reach at least 75 percent of the allocation by the end of March. Based on the revised budget size, utilization should have stood at around Rs682 billion, leaving a shortfall of nearly Rs267 billion.
Performance across major infrastructure sectors also remained weak. The National Highway Authority (NHA) utilized only 36 percent of its revised allocation, while the power sector spent about 50 percent. Spending in housing, health, and information technology sectors remained particularly low, with utilization ranging between 13 percent and 28 percent.





