Finance Division takes initiative to facilitate development projects
ISLAMABAD: Finance Division has shortened budget release process for Public Sector Development Programme (PSDP). The step is aimed at easing funds flow and to remove bottlenecks, to boost economic development, PID reported. The steps include increased availability of funds, friendly processes and incentives for early and proper utilization of funds. Following are the new measures:-
- Half of the budgetary allocations for approved PSDP projects have been made instantly available to Ministry of Planning & Development by revising Finance Division’s release strategy. Now 50% funds are available for the first two quarters, without any complication. The quarter wise release will be 20:30:30:20.
- There shall be incentive of advance releases to the executing agencies which will utilize funds appropriately within required time period.
- There shall be no ways and means clearance”” of Finance Division for the approved PSDP projects for the first 03 (three) quarters of the financial year.
- The practice of endorsement by officers of Finance Division on the PSDP funds releases sanctioned by the PAOs is also being withdrawn forthwith.
- The whole process of authorization, releases and sanctioning of PSDP allocated funds shall be dealt between Ministry of Planning, Development & Reforms and Ministries / Divisions and PAOs concerned.