Foreign-funded project portfolio halved
ISLAMABAD: The government said on Monday it had to cut the foreign-funded project portfolio by more than half, from Rs537 billion to Rs255bn, due to a shortage of matching funds in local currency for the current fiscal year. This was reported to the Senate Standing Committee on Planning, Development and Special Initiatives by a team led by Planning Secretary Dr Tahir Noor. Mr Noor also informed…
The government announced a reduction in its foreign-funded project portfolio by over half, from Rs537 billion to Rs255 billion, due to a shortage of matching funds in local currency for the current fiscal year. This decision, reported by Planning Secretary Dr Tahir Noor to the Senate Standing Committee on Planning, Development and Special Initiatives, comes after the Economic Affairs Division proposed Rs425 billion for rupee cover after consultation with relevant agencies, falling short of the initial demand of Rs537 billion.
The committee also highlighted the need for effective monitoring and timely implementation of existing projects, as well as the importance of relying on domestic resources to reduce dependence on foreign loans. Senator Marri emphasized the need for adequate rupee cover and transparency in foreign-funded projects, while expressing concern over delays in the Sukkur-Hyderabad Motorway project, which is expected to begin within months with the availability of $705 million in foreign financing.
Brief written by urgent.news from Dawn Business's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
