The country’s annual development spending fell to its lowest level in more than five decades in the just-concluded fiscal year, delaying infrastructure and social projects, slowing job creation and reducing the economic boost usually generated by public investment.

Bangladesh’s annual development spending against the allocation stood at 67.5 percent in the just-concluded fiscal year, the lowest in at least 50 years, due to poor project readiness and procurement and land acquisition delays.

The government’s development expenditure has fallen to its lowest level in at least five years in the first nine months of the current fiscal year 2025-26 (FY26).

Development spending rose 42.30 percent in the first nine months of the current fiscal year (FY) thanks to a higher execution rate in March following the national election.