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Capital budget for 12th FYP increased by Nu 1.7bn, Lyonchhen

May 28, 2021
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The opposition accused the government of achieving minimal outcomes reducing the 12th Five Year Plan capital budget during the question hour session of the National Assembly, today. Claiming the outcomes of the Mid-Term Review of the 12th Five Year Plan are worrying, the opposition asked for the government’s plans to ensure better outcomes.

The Member of Parliament of Kengkhar-Weringla, Rinzin Jamtsho, informed the house that the total budget for the 12th FYP was reviewed and reduced due to the pandemic. And since then, he said the government has not been able to achieve half the results.

“From the 12th FYP, almost 2 and a half year has gone. From 100 % of the 12th FYP, 50 % of outcomes should have been complete by now. From the revised budget, the outcomes are very minimal. Now the government is left with only over 2 years to work out everything. There is a huge risk of activities and plans remaining only on paper. What and how is the government planning to work on achieving the 12th FYP?” he questioned.

Denying the accusation, Prime Minister Dr Lotay Tshering said the capital budget has instead increased from Nu 116bn to almost Nu 118bn.

“I don’t know from where the findings of reduction in the capital budget came from. The capital budget has increased by Nu 1.7bn whether it was borrowed or granted. It has not reduced in any way,” Lyonchen said.

The Prime Minister added the current government has achieved almost 46 % of the 12th FYP, which is better than the previous governments.

“During the Mid-Term Review of the 11th FYP, only 35.5 % of the capital budget was utilised. And during the Mid-Term Review of the first government, only about 30 % was utilised from the total capital budget and there was no pandemic during that time. From my findings, the result or the utilisation rate of the capital budget is better than the past trends,” Lyonchhen added.

Lyonchen also said the government so far has spent nearly Nu 35bn in central government activities. Lyonchhen said the government will continuously revisit the remaining capital budget of over Nu 63bn. Likewise, the activities through the budget will also be re-prioritised based on the capacity, progress, and viability. The government initially allocated a capital budget of Nu 116bn for the 12th FYP.

Tshering Dendup

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