ISLAMABAD - Despite financial constraints, the government has not decided yet to slash the Public Sector Development Programme (PSDP) during the ongoing financial year 2011-2012, said Secretary Finance Dr Waqar Masood Khan. On a question regarding whether the government is set to slash the PSDP once again during the current year as like previous years, he said, The PSDP situation is on track and the government has no intention to slash it during the ongoing financial year. The government had already saved Rs 25 billion from the Public Sector Development Programme (PSDP) during the first quarter (July-September) of the ongoing financial year, as it had released only Rs 50 billion against the target of Rs 75 billion. The said steps of saving amount from PSDP was taken in order to keep fiscal deficit under control, as it remained 1.1 per cent of the GDP during July-September period of the year 2011-2012. The critics and economic experts are of the view that government might not release sufficient amount for PSDP owing to retain its fiscal target under control i.e. four per cent of the GDP during the current fiscal year. The government had fixed the overall size of the Public Sector Development Programme at Rs 730 billion for the ongoing fiscal year wherein Rs 300 billion is for the federal government including Rs ten billion for the Earthquake Rehabilitation and Reconstruction Authority (ERRA) apart from the allocation of Rs 430 billion for provinces. Meanwhile, the government has released only Rs 62.8 billion during the first four months (July-October) of the current fiscal year that is only 20 per cent of the overall allocation. According to the break-up of Rs 62.8 billion released during the first four months of the ongoing financial year 2011-2012, the government has released Rs 32.9 billion for infrastructure against the overall allocation of Rs 157 billion. Meanwhile, the government has released Rs 29.3 billion for Social Sector against the overall allocation of Rs 129.6 billion and Rs 0.568 billion has been released for other sectors against the total allocation of Rs 3.3 billion for the whole financial year.