It is high time the Public Sector Development Program (PSDP) was streamlined from the tangled web of disparate projects it had become. Under the leadership of Planning Minister Ahsan Iqbal, the government has charted a consolidated path forward for the fund. Reports suggest that, without intervention, it would have taken over 14 years to complete all the projects at the current pace of implementation. Now, under the new plan, high-priority projects are expected to be completed in just over three years. While this move may have been prompted by the IMF, it addresses a pressing need for Pakistan to rationalise its development spending.
The PSDP had devolved into a patchwork of projects that could be expedited, delayed, or abandoned altogether at the whims of successive governments and construction firms. Flashy quick wins often took precedence over critical long-term initiatives that could address deeper structural issues. For instance, visible but superficial infrastructure projects overshadowed the urgent need for fundamental upgrades, such as revamping drainage systems in cities like Lahore and Rawalpindi.
In this restructuring process, it is imperative that Pakistan also rethinks the discretionary development funding allocated to MNAs and MPAs for use in their constituencies. This outdated practice, rooted in colonial traditions, allows elected representatives to spend taxpayer money without adherence to a national development strategy or guidelines. The result has been cronyism, corruption, and mismanagement. Funds are frequently funnelled to favoured contractors, leading to graft, substandard construction, and uncoordinated urban expansion driven more by political expedience than by public need.
Reforming this system is crucial to ensuring that development funds serve the broader national interest rather than short-term political ambitions. By focusing on strategic, well-planned initiatives, Pakistan can move towards a more sustainable and equitable model of development.