Tuesday 20 May 2025
           
Tuesday 20 May 2025
       
Huge decrease in healthcare sector allocation
Budget for fiscal year 2025-26
Staff Correspondent
Publish: Tuesday, 6 May, 2025, 11:27 AM

The budget for the next fiscal year is seeing a significant reduction in allocation for healthcare sector. In the Annual Development Program (ADP), an allocation of Tk 5,616.97 billion has been proposed for the ongoing 14 projects of this department. Of this, the target expenditure is Tk 4,510.38 billion from government funds and Tk 1,065.9 billion from foreign aid. 
The allocation in the original ADP for the current fiscal year was Tk 11,153.12 crores. Accordingly, the allocation is decreasing by Tk 5,536.95 crores. In addition, the allocation in the revised ADP (RADP) is Tk 5,673.51 crores. This will reduce by Tk 573.4 crores. 
27 new unapproved projects will be added. This proposal was submitted to the Planning Commission by the Health Services Department on April 15. 
But experts say that allocations to the health sector should not be reduced for any reason.
When asked about this, Dr. Zahid Hossain, former lead economist of the World Bank Dhaka office and member of the white paper preparation committee, told Daily Industry, the argument that the Ministry of Finance always gives is not right. Because when it comes to reducing the allocation, it is said that the allocation that was given cannot be spent. So, what is the benefit of increasing the allocation again. But it is important to restructure the expenditure here. At the same time, we have to find out why the allocated money cannot be spent. This work can be done even by increasing the allocation. If the problem can be solved, then there should be no obstacle to spending more allocation.
Dr. Zahid also said that there are many nutrition-related programs in the health sector. For example, cash is given to poor mothers and children under various conditions. This not only helps in the development of the child, but it is also a great support for the mother and her family. There is no scope for reducing the allocation in them. In addition, if there is sufficient allocation in the health sector, not only does it ensure better treatment, but also reduces the medical expenses of the people. 
According to the Health Services Division, a total of 27 new unapproved projects have been proposed to be added to the ADP in the next fiscal year. Of these, 24, including one from the Directorate General of Health Services to facilitate access to foreign aid, one from the Health Services Division, one from the National Heart Foundation, and one from Bangladesh Children’s Hospital. 
The Planning Commission said that the allocation for several of the 14 ongoing projects proposed for the next fiscal year will be reduced. Among these, the revised ADP allocation for the Essential Drugs Company Limited Manikganj plant establishment project has been reduced by Tk 1,000 crore. From that, Tk 800 crore has been proposed to be reduced to Tk 200 crore for the next fiscal year.
The allocation for the Sheikh Hasina Medical College and Hospital and Jamalpur Nursing College establishment projects has been reduced from Tk 350 crore to Tk 200 crore. The Patuakhali Medical College and Hospital establishment project has been reduced from Tk 205 crore to Tk 39.16 crore.



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