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Annual development program (ADP)

Introduction:

ANNUAL PLAN

ANNUAL DEVELOPMENT PROGRAME

INVESTMENT SCHEDULE

DEFENCE PLAN

The investment schedule is for the private sector whereas ADP is the public sector projects. Unlike 5years plan, ADP has to be more specific and pragmatic as it is the ultimate instrument for resource allocation and works like capital budgeting of the government for investment for the financial year concerned. The preparation of a purposeful annual development program depends on corporation from all ministries specially the executing agencies. A balance between investment and immediate production and investment in infrastructure or long gestation production schedules is required.

Guideline for ADP formulation


Following guideline have been formulated by government, such as Core sector receive priority Directly productive sector should clame the major share of the allocation of available resources. The number of the project should be reduced to the minimum and should minimum the available resources. Project in advanced state of completion should receive priority in allocation so as to complete them quickly. Project can be implemented at upozila level should be transferred to upazila porishods for implementation. Aided project are expected to be provided sufficient allocation so that maximum aid disbursement can take place. Requirement of taka funds for aided projects is to meet of priority. Intersee priority of project with in a sector depends on the following elements. a) b) c) d) Aid availability Stage of project completion Output implecations and Balance of payment implications.

Defence purpose projects and credit lines do not enter ADP. These are handle separately by MD and MoF/BB respectively.

Selection of projects:
Following order of prority is being followed Top most priority to ongoing project likely to finish in the next financial year. This take the bulk of ADP allocation resources. Other on going projects Indusion of those planned projects where the forign aid has been finaly committed. Other approved projects of importance Planned projects where at least a PPP has been submitted and cleared by PEC ADP also includes projects financed by own resources of various organigation.

The following are not recommended for inclution in ADP Unapproved projects where PP has not been submitted end of march New unapproved projects which are not of high priority Pruning out of projects which either no longer meet social or economic profitability criteria or are not consistent with exosting priority order.

Preparation of ADP:
The steps involved in the preparation of an ADP are as follows Determination in consultation with finance division and ERD of the available resources and invitation of auggestion for projects from ministries by sector divisions of planning commission. Scrutiny of proposals by sector division of planning commission in consultation and meeting eith external resources division and relevant agenies. All proposals are sent to programming division of plaing commissiom which produces a draft ADP. Screening of the draft by a orogramming committee headed by member . programing planing commission and with members from ERD, finance division IMED, presidents secretariat, concerned ministry ,head of agency and the sector division of PC. The sumission of the revised ADP to the NEC for apprival.

ADP contents:
The ADP can be deemed to ne divided into four parts. The fitst part, which is introductory in nature, contains abstracts for ADP allocation as per the economic sector identifies by PC divided on core and noncore projects. It contains information about the approval atatus of the projects, list of the projects included in ADP and sectorsl highlights of the proposed programme. The second part making the main body of ADP contains details about the sector wise allocations of the current financial year, that is total allocation,taka component with nature of investment, that is whether it is capital or revenue expenditure ,duties and taxes, forign exchange with source, that is, whether it is project aid, commodity aid or cash foreign exchange, counter part fund, and the source of forign aid. Part three contains an informationabout annual technical assistance programme which which is appended to ADP. It contains asector of and project wise inforation in 15 colum10 and 15 contain information about the allocation for the current year including project aid and RPA. The column it for the source of aid.

ADP calender:

Following activity schedule is followed:

Month November

Activity Revision of current ADP Projection of ADP for next finanacial year. Discussions with executing agencies and their ministries.

December

April

Submission of PC and NEC for approval.

June

Government decision on ADP.

End june

Presentation of ADP by government.