| Danial Norjidi |
THE proposed budget for the advancement of the National Development Plan for the 2016/2017 financial year is $700 million, with projects set to be assessed closely on their importance, effectiveness and potential contribution to the country and its people.
The National Development Plan (NDP) was discussed yesterday at the Legislative Council Meeting, with the Minister at the Prime Minister’s Office and Minister of Finance II, YB Pehin Orang Kaya Laila Setia Dato Seri Setia Awang Haji Abdul Rahman bin Haji Ibrahim delivering an opening statement.
The minister noted that the 2015/2016 financial year marked the fourth year that the 10th National Development Plan was implemented.
“Alhamdulillah, most of the projects planned under the 10th NDP have been carried out according to schedule, in addition to several other projects that were also implemented based on needs and priorities.”
The minister said that, so far, of the 567 projects that have been approved, 378 (67 per cent) have been completed, a total of 18.7 per cent of the projects are in progress and some of them are expected to be completed by the end of the 10th NDP.
The Minister at the Prime Minister’s Office and Minister of Finance II, YB Pehin Orang Kaya Laila Setia Dato Seri Setia Awang Haji Abdul Rahman bin Haji Ibrahim. – BAHYIAH BAKIR
Meanwhile, 7.4 per cent are in the offer stages, while 21 projects (3.7 per cent) are in the design stages, with the remainder still in planning.
Projects that need to be postponed to the next NDP will have their importance and priority reassessed, the minister said.
“What is expected from this implementation is to support the development of economic activity in the country aside from preserving the prosperity and welfare of the community, including in opening employment opportunities for locals.”
Continuing, the minister noted that the 2016/2017 financial year is the last year for the implementation of the 10th NDP.
He highlighted that as the 2016/2017 financial year sees Brunei Darussalam expected to face an economic situation more challenging than previous financial years, the budget for the progress of the NDP will also be limited.
Thus, the government will give more attention and focus to designing and implementing projects that will support the theme of the state budget, which is to strengthen the country’s economic climate and the budget’s focus that has been set while taking into consideration the government’s fiscal sustainability.
“In researching the plan for each project to be implemented, priority will be given based on public necessity,” he said. “In this case, each ministry is also required to consider value-for-money and cost-effectiveness in assessing each project to be implemented.”
He asserted that this is important to ensure that the government’s financial resources are used more productively and based on a clear outcome and to control any form of waste.
“Towards this, every ministry and government agency is encouraged to evaluate the feasibility of implementing and financing some projects through Public Private Partnership (PPP), corporatisation of relevant government agencies or commercialisation of some activities in a relevant government agency.”
He said that, taking into account the budget priorities and focus, the proposed budget to progress the NDP for the 2016/2017 financial year is $700 million.
“This provision is to finance 196 projects under the 10th NDP, which will be and are currently under implementation,” the minister explained.
From this provision, a total of 21.4 per cent has been allocated to facilitate business, 14.2 per cent to increase the country’s productivity, 13.1 per cent for capacity building and developing role models, and the remaining 51.3 per cent to preserve public welfare.
The minister went on to detail the budget allocation in accordance to key sectors, beginning with the social services sector, which has been provided the largest allocation of $178.4 million (25.5 per cent). This sector includes projects in education, health, housing and human resources, the minister explained.
Next is the transport and communications sector, which has been provided $153.3 million (21.9 per cent).
Third is the trade and industry sector, which has been allocated 134.7 million (19.3 per cent) for the implementation of several economic projects that have been identified to support the efforts of diversifying the country’s economic activities and resources.
A total of $133.4 million (19.1 per cent) has been allocated for the sector of public facilities, such as the provision of clean water supply, sewage treatment, improving water drainage systems including for flood control, as well as the provision of electricity.
Another sector is that of security, which includes subsectors of the Royal Brunei Armed Forces and Royal Brunei Police Force, and has been provided $28.9 million (4.1 per cent).
Meanwhile, the Public Building sector has been allocated a total of $25.1 million (3.6 per cent), with emphasis given to repair and maintenance work of infrastructure and government assets.
In the sector of science and technology, research and development and Innovation, $22.5 million (3.2 per cent) has been allocated. This sector, among others, includes provisions for research and development under the control of the Brunei Research Council.
The eighth and final sector mentioned was that of information and info-communications technology, for which $17.7 million (2.5 per cent) has been allocated to implement e-Government projects that will be able to help enhance the level of service efficiency and cost-effectiveness. This also includes a priority to strengthen system integration.
“Up to 15 March 2016, the actual expenditure of the National Development Plan for the 2015/2016 financial year has amounted to $694.6 million, which is close to 70 per cent of the provided allocation,” the minister said. “The NDP expenditure for 2015/2016 is expected to increase to $800 million by the end of the financial year.”
“To ensure that implementation and expenditure for NDP projects is carried out according to schedule and the approved provisions, the involved parties will continue to monitor closely as well as introduce and implement measures to further improve the implementation of these NDP projects.”
To support national development efforts, the Department of Economic Planning and Development (JPKE) will continuously review the suitability of the planned projects to contribute sustainably and effectively towards the country’s socioeconomic growth.
He explained that this includes a number of things, first of which is that each project undertaken must be based on the prepared annual provisions.
Next is that the projects that are to be carried out must be assessed in terms of actual needs and priorities and the potential outcomes. This includes providing permanent, quality jobs to locals and government revenue.
Thirdly, proposed expenditure for each project, including the scope and specification work, should be studied thoroughly to avoid wastage and losses in government spending.
Also, attention should be given to increasing department accountability and integrity in financial management by ensuring payment processing is efficient and orderly.
Fifth is for continuous research on projects that are planned prudently so that projects that are not needed or are not a priority are cancelled to make way for new quality projects that are more important to support the Brunei Vision 2035.
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