12th FYP affected by COVID-19

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The 12th Five Year Plan (FYP) has been affected by the COVID pandemic and most of the programs have to be prioritized, said Prime Minister Dr Lotay Tshering at meet the press yesterday.

He added most of the activities needed raw materials which are imported and Indian labor plus foreign expats and consultants.

“So the plan has been affected from many angles,” he said, adding that activities that require manpower to be working together are affected by social distancing.

According to Lyonchhen, some activities which were kept for 2022 have also been rescheduled. “We are planning to readjust activities,” he said.

In the 12th Five Year Plan (FYP), a total budget of Nu 15bn is allocated for flagship programs from the capital outlays, which are handled by the Gross National Happiness Commission (GNHC).

PM said flagship programs is one of the new features in the 12th FYP but with the COVID situation, flagship programs are equally affected.

“Flagship programs aimed at addressing national level issues require multi-sectoral intervention, but some programs have to be readjusted with the situation,” he said, adding blueprints with detailed interventions are being prepared in consultation with all relevant stakeholders.

Meanwhile, the flagship program guidelines and blueprints will guide the implementation of the programs. So far, the government has approved five flagship programs for implementation within the 12th FYP.

The flagship programs include 24×7 safe drinking and irrigation water for which Nu 3bn is allocated, digital drukyul worth Nu 2.55bn, start-ups and cottage and small industries worth Nu 1.2bn and the Nu 1.56bn tourism development and Nu 1bn organic Bhutan.

The implementation of the approved five flagship programs will start with proposed outlay of Nu 1.8bn from the fiscal year 2019-20.

The GNHC Secretariat also carried out donor resource mapping as per the outlay of the 12th FYP.

The outcomes of the plan talk include GoI committing Nu 45bn for 12th FYP. Additionally, 51 PTA projects amounting to Nu 19.75bn were endorsed which include 31 new projects and 20 multi-plan or recurring projects initiated in the 11th FYP and 148 Small Development Projects worth Nu 1.9bn were approved as the first batch of SDPs under the 12th FYP.

The total outlay for the 12th FYP is Nu 310bn of which Nu 116bn is capital outlay and Nu 194bn is current outlay. It is an increase of 38% over the 11th FYP outlay of Nu 224bn.

The increase in plan budget is mainly on account of 68% increase in current budget, largely contributed by provision kept for proposed pay revision for civil servants, higher cost of maintenance of infrastructure, and debt service obligations.

The capital budget for the 12th FYP is about 6% increase over the 11th plan budget of Nu 109 bn.

Kinley Yonten from Thimphu

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