National Planning Commission Unveils Five-Year Action Plan to Enhance Government Spending Effectiveness
The National Planning Commission (NPC) has introduced the Public Investment Management Action Plan (2081/82-2085/86). Endorsed during the NPC's meeting on April 23, this comprehensive plan seeks to optimize project spending across government, public corporations, and public-private investments.
Dr. Divakar Luintel, the Information Officer at NPC, elucidated that the action plan emerged from a recognized necessity for a long-term strategy to expedite development projects, amplify capital spending, and ensure the utmost effectiveness of public investment endeavors.
The unveiling of this action plan comes at a critical juncture, wherein a significant portion of the budget designated for infrastructure construction remains underutilized across all three tiers of government. Addressing the persistent issues within this sector, the action plan is poised to mitigate delays in project completion, which often translate into escalated time and costs, consequently impinging upon the state's financial health and reputation to the detriment of its citizenry.
To tackle these challenges head-on, the action plan delineates seven key objectives. Central to its implementation is the establishment of a regular and transparent central monitoring system, tasked with efficiently managing the capital project portfolio. Moreover, the plan outlines a phased reform of the national project bank, alongside enhancements to the electronic public procurement system, aimed at fostering transparency and efficacy in public procurement processes.
Further, the action plan advocates for the regular renovation of public structures and infrastructures, supported by the implementation of appropriate directives. Project chiefs will be appointed with delineated responsibilities, while efforts to eliminate duplication in development projects are also underscored as paramount.
Highlighting a prevailing dearth of integrated data or comprehensive insights into projects and their associated spending by the three-tier government, the action plan aims to address criticisms regarding governmental inefficiencies in project selection and budget allocation. Emphasizing the imperative of adequate project preparation to secure budgetary allocations, the plan delineates measures to discontinue unviable projects, thus aligning expenditures with tangible developmental outcomes.
In essence, the Public Investment Management Action Plan represents a concerted effort by the National Planning Commission to instill a culture of efficiency and accountability in government spending, with the overarching goal of fostering sustainable development and prosperity for the nation and its populace.
