Paucity of funds plagues development projects

Lack of funds has brought many development projects under the Karachi Metropolitan Corporation (KMC) to a halt, leaving major highways crumbling, street lights in disrepair, and parks neglected.

The Sindh government, after a 9-month delay, recently disbursed only Rs 735 million of the Rs 5 billion allocated for the KMC's development budget for the 2023-24 financial year. And with only 3 months remaining in the fiscal year, concerns loom large over the completion of essential projects. "For years, the Sindh government has failed to fully release funds for the annual district development program (District ADP), accumulating arrears of over Rs 14 billion owed to the KMC," disclosed an official familiar with the matter, albeit under the condition of anonymity.

"This year alone, the KMC allocated Rs 5 billion for the District ADP, funded by the Sindh government. However, the release of funds has been insufficient to meet the city's growing developmental needs," added the official.

The Express Tribune learnt that under the District ADP, for the Rs 5 billion allocation, the KMC has outlined 683 old schemes and 40 new ones, with Rs 3.60 billion earmarked for the former and Rs1.40 billion for the latter. However, in this regard, an anonymous official from the Engineering Department of the KMC stated: "This inadequate funding from the Sindh government, for a city of over 30.5 million people, has led to a backlog of incomplete projects."

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"For yet another year, the KMC will have to rely on its own revenue for essential expenses, such as petrol and contingencies, while major development projects continue to await funding from the Sindh government," he regretted. Agreeing with the official, Saeed Mughal, spokesperson for Karachi's constructors association, emphasised that numerous schemes initiated under the District ADP since 2018 remained pending due to insufficient funds.

"Out of the 527 incomplete schemes supervised by the KMC, parks, playgrounds, municipal services, health, IT, and cultural projects are among the most affected sectors," noted Mughal."Ideally, each scheme should be completed within two years, but due to the Sindh government's discrimination against Karachi, projects have suffered delays and setbacks," remarked Mughal.In light of Mughal's assertions, the Express Tribune inquired from the KMC about the pending scheme and the budget shortfall, responding to which the Spokesperson of KMC assured that the recently released Rs 735 million would address pending payments to contractors and work on some old projects would resume.

The Local Governments Minister, Saeed Ghani's spokesperson, had a similar take on the matter. "Discussions are underway within the newly formed cabinet to address Karachi's developmental challenges. Efforts are expected to be made promptly to resolve funding issues and prioritise essential projects," the spokesperson assured while talking to the Express Tribune.