What lack of resources?: Over $151m in donations unspent under MDTF

At least 88% of the funds were allocated for projects in K-P and FATA, the remaining for work in Balochistan

PESHAWAR:

Only $30 million of the $181.3 million donated by 11 countries under the Multi-Donor Trust Fund (MDTF) for development projects in crisis-affected areas of Federally Administered Tribal Areas (Fata), Khyber-Pakhtunkhwa (K-P) and Balochistan has been utilised over the last four years. With just months left to achieve their goals, the apparent lack of official interest means authorities have yet to spend over $151 million.

Officials reportedly remain busy trying to extend deadlines; some have said the remaining funds will somehow be utilised in the coming eight months.

Post-crisis complacency?

Of the $181.3 million allocated, based on the government’s Post Crisis Needs Assessment (PCNA), 54% is for K-P, 34% for Fata and 12% for Balochistan. However, the progress report of MDTF, a copy of which is available with The Express Tribune, shows the project is well short of achieving its objectives which are to be completed by June 30, 2015.



The MDTF stream allocation report reveals 19% of the funds were allocated for growth and job creation in the three areas, which amounted to $29 million, while 69% ($102.9 million) would be used to improve local services and community support. Finally, 12% was allocated for policy reforms and governance support that amounts to $17.8 million.

A senior official in the MDTF, while talking to The Express Tribune, confirmed only $30 million had been spent. He said neither the K-P, Fata or Balochistan chapters of MDTF were able to spend the money due to their “lack of interest”. The official added in an effort to meet the deadline of June 30, 2015, all the officials from the three regions are in Bhurban to chalk out plans to spend the funds. “There is no need for more than 100 people to stay at expensive hotels and spend over Rs7 million on accommodations,” he said.

The official added that of the K-P officials, secretaries of the home, planning and development and administration departments, along with other officials, will take part in the moots. “Music programmes are also part of these ongoing meetings,” the official quipped.



He questioned the rationale behind holding the meeting in Bhurban instead of Peshawar or Islamabad, “if the aim was to give officials a chance to chalk out plans for reviving the project and extending the deadline”.

The acronym soup

There are 11 projects meant to spend the funds of MDTF. The projects for improving local services and community support include FATA Emergency Rural Roads Project (ERRP), Rural Livelihoods and Community Infrastructure Projects (RLCIP), FATA Urban Centres Project (FUCP), K-P Southern Area Development Programme (SADP), K-P Emergency Roads Recovery Project (KP-ERRP), Revitalising Health Services in Khyber-Pakhtunkhwa Project (RHSP) and Promoting Girls Education in Balochistan (PGEB).

Meanwhile, projects to enable growth and create jobs are Economy Revitalisation for K-P and Fata (ERKF) and Competitive Industries Project for Khyber-Pakhtunkhwa (CIPK). Finally projects for policy reforms and governance support include Balochistan Disaster Management Project (BDMP) and Governance Support Project (GSP).

The progress report of the MDTF mentions that out of all 11 projects, K-P, Fata and Balochistan have just one project which was termed “highly satisfactory”.

MDTF K-P Communication Officer Atif Yousafzai said officials are gathered in Bhurban for a consultative workshop to propose projects under “MDTF round-II, for the next five years”.

Yousafzai added he did not have much more information on the matter. Despite being asked on several occasions why millions in MDTF funds were being spent in Bhurban, the communication officer did not respond.

MDTF Projects Coordinator Zahoor Khan, while talking to The Express Tribune, also stated that officials were chalking out strategies to wrap up the first round of projects and to start work on the second installment. He claimed 70% of the projects were completed and termed “highly satisfactory”.

While acknowledging large amounts in funds were remaining, he rejected the MDTF report and assured that every penny of the $181 million will be spent. “The amount will not lapse,” he asserted. The coordinator added every project was worked out through a proper strategy and funds are being spent accordingly.

Zahoor also rejected claims that officials came to Bhurban for leisure. “We have security concerns and that’s why we came here,” he explained. He added a final decision on a future course of action will be taken after a series of meetings organised from October 24 to October 27.

Fasiha Bibi, who works on the MDTF-funded projects, echoed Zahoor’s claims, saying none of the money will lapse. She added the first phase of projects will be wrapped up by December 2014, while the rest of six months up till June 30, 2015 would be used for project documentation.

However, Fasiha Bibi admits a significant amount could not be spent in the last four years, but insists it will somehow be utilised over the next two or three months.

“This amount will be spent based on consultation and policy” she said. However, she failed to provide details about the policies and consultations that would utilise this huge amount.

Published in The Express Tribune, October 20^th, 2014.