how planning in done in pakistan

8/10/2019 how planning in done in pakistan

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Public Planning inPakistan

By; Engr.Dr. Attaullah Shah

BSc Engg ( Gold Medlaist), MSc Engg ( Strs), MBA, MA ( Eco)

MSc Envir Design, PGD Computer Sc,

Tel: 051-9250100

E-mail: [email protected].


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What is Planning?

What needs to be done by whom and when Setting of objectives for an organization and

establishing the policies, procedures, programsnecessary to achieve them.

Why? To reduce uncertainty

Improve efficiency

Better understanding of objectives

Provide Base for Monitoring and Controlling. Types:

Strategic Planning: Five years or more-

Tactical Planning: One to two years.

Operational Planning: One day to few months


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Component of Planning

Objectives:Goals and targets. Program: Strategy and Major actions.

Schedule: Plan of start and finish of individual and groupactivities.

Budget: Planned Expenditures required to achieve or exceedobjectives.

Forecast: Projection that what will happen at some futuredate?

Organization: Design , NO. and kinds of positions alongwith corresponding duties and responsibilities to achieve or

exceed organizational objectives. Policy:General guidelines for decision making. Procedure: A detailed Method of carrying out a policy. Standard: A level of individual or group performance defined

as acceptable and adequate. WHAT IS VISION?


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Seven Principles of Sound Public Policy

#1:Free people are not equal, and equal people are not

free. #2:What belongs to you, you tend to take care of; what

belongs to no one or everyone tends to fall into disrepair. #3:Sound policy requires that we consider long-run

effects and all people, not simply short-run effects and afew people.

#4: If you encourage something, you get more of it; ifyou discourage something, you get less of it

#5:Nobody spends somebody else's money as carefully

as he spends his own.#6:Government has nothing to give anybody exceptwhat it first takes from somebody, and a governmentthat's big enough to give you everything you want is bigenough to take away everything you've got.

#7:Liberty makes all the difference in the world.

#


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History of Planning Bodies in Pakistan Development Board was established early in 1948

In 1950 a Six-Year Development Plan was formulated andembodied in the Colombo Plan for Cooperative EconomicDevelopment in South and South East Asia..

Planning Board: 18th July, 1953,

To develop the resources of the country as rapidly as possible so asto promote the welfare of the people, provide adequate livingstandards, and social services, secure social justice and equality ofopportunity to all and aim at the widest and most equitabledistribution of national wealth.

Planning Commission On 22nd October 1958, the President waspleased to re-designate the National Planning Board as thePlanning Commission.

Federal Ministries/Divisions

The Federal Ministries

are responsible for the preparation of programmes and projects intheir respective fields of interest including autonomous

organizations under their control


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Conceptual Plans.Perspective Plan-Vision Plan ( Ex: 2030 Vision)

To provide a long-term (15-25 years) economic and social policyframework so that the objectives to be achieved over a muchlonger period can be incorporated in a medium-term framework.

Five Year Plan:

A five year plan is a general statement of objectives and targets

relating to the economy as a whole and its various componentsectors.Roll-On Plan In order to bring flexibility into the Five Year, a roll-on plan of

medium term is designed in which the sectoral and project-wise

position is adjusted according to the foregoing yearAnnual Plan

It is regarded as the implementation side of the five year plan.

The annual plan includes an evaluation of past performance, apresentation of the main targets, an assessment of the resource

position for the year.


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Public Sector Development ProgramPSDP The Public Sector Development Programme (PSDP) is

an annual document which lists all the public sectorprojects/ programmes with specific allocations made for

each one of them in that particular financial year. ( 1920

Projects in 2006-07)

Federal Vs Provincial Projects

Major share of the total Development Programme is

allocated to Federal projects

While the remainder is allocated to the ProvincialDevelopment Programme.


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FEASIBILITY STUDY

Pre-requisite for preparation of a major development project on

sound lines, and is not ruled out even for a minor onePreparation/Processing of PC-II.

For Large projects of cost 500 Million or more

Consultants are appointed for pre-feasibility.

The consultancy charges should not exceed 10%

PC-I/Project Feasibility: Part 'A' is the "Project Digest", containing eight questions which are more

or less common to all sectoral PC-Is forms.

Part 'B' entitled "Project Description and Financing",

Part 'C' deals with "Project Requirements".

Part 'D' deals with environmental aspects.


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PC-III Proforma

Designed to furnish information on the progress of on-going

projects on quarterly basis

PC-IV & V Proformae

PC-IV form is required to be submitted at the time when theproject is adjudged to be complete while the PC-V form is to befurnished on an annual basis for a period of five years by theagencies responsible for operation and maintenance of theprojects.

Umbrella PC-I Some times a Federal Ministry is required to prepare a PC-I

having provincial components to be financed through a jointloan by a donor agency.


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Project Appraisal. Technical Analysis The analysis for determining the technical viability of the development project is based

on the technical data and information given in the PC-I form as well as the earlierexperience of carrying out similar projects.

Institutional/Organizational/Managerial Analysis A whole range of issues in project preparation revolves around the overlapping

institutional, organizational and managerial aspects of the project.

Social Analysis Social analysis is undertaken to examine the aspects like employment

opportunities and income distribution.

Commercial Analysis

The commercial aspects of a project include the arrangements for marketing theoutput produced by the project and the arrangement for the supply of inputsneeded to build and operate the project

Financial Analysis Financial analysis involves assessment of financial impact, judgment of efficient

resource use, assessment of incentives, provision of a sound financing plan,

coordination of financial contribution and assessment of financial managementcompetence.


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Economic Analysis Analysis from the economic aspect assesses the

desirability of an investment proposal in terms of itseffect on the economy.

Remarks: The planning process in Pakistan starts with the PC1.

This is a document, which by its very nature excludesany public discussion and debate and in fact, makes it

redundant. To avoid the disasters we have experiencedin the name of development, it is imperative thatdiscussions and consultations between citizens andgovernment agencies take place at the conceptual levelof the project.

Director Urban Resource Center Karachi

PROJECT APPROVING BODIES


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PROJECT APPROVING BODIES National Economic Council (NEC)CEO/PM as Chief

( No limit)

Executive Committee of National Economic Council(ECNEC) Above 500 M

Headed by the Federal Minister of Finance/ Adviser to the

Prime Minister for Finance and Economic and Planning. Economic Coordination Committee of the Cabinet (ECC)

Headed by the Federal Minister for Finance and FederalMinisters of economic ministries as its members. It attends toall urgent day-to-day economic matters and coordinates theeconomic policies initiated by the various Divisions of theGovernment

C l D l ki (CD )


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Central Development Working Party (CDWP)

Headed by the Deputy Chairman, Planning Commission andwhich includes as its members the Secretaries of the Federal

Ministries concerned with the development and the heads ofthe Planning Departments of the Provincial Governments.

Departmental Development Working Party(DDWP/DSC)

Headed by the respective Secretary/ Head of Department andincludes representatives of Finance Division and concerned

Technical Section in the Planning and Development Division.

Provincial Working Party (PDWP):

headed by the Chairman, Development Board/AdditionalChief Secretary (Development) and includes Secretaries of theProvincial Departments concerned with development, as itsmembers

Pl i Hi f P ki


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Planning History of Pakistan By 1950 a six-year plan drafted. But the initial effort was

unsystematic.

First Five-Year Plan (1955-60). Not implemented,

because political instability led to a neglect of economic policy,

but in 1958 the government renewed its commitment to

planning by establishing the Planning Commission.

The Second Five-Year Plan (1960-65) surpassed its major goals

when all sectors showed substantial growth.

Third Five-Year Plan (1965-70), designed along the lines of its

immediate predecessor, produced only modest growth.

The Fourth Five-Year Plan (1970-75) was abandoned as East

Pakistan became independent Bangladesh.


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The Fifth Five-Year Plan (1978-83) was an attempt to stabilize theeconomy and improve the standard of living of the poorest segment ofthe population. Increased defense expenditures and a flood of refugees

to Pakistan after the Soviet invasion of Afghanistan in December 1979.

The Sixth Five-Year Plan (1983-88)represented a significant shifttoward the private sector.

The Seventh Five-Year Plan (1988-93)provided for total public-sector spending of Rs350 billion.

Eighth Five-Year Plan (1993-98):The Plan, which ended up in

achieving far less than proposed development targets, dealt with theissues of sustainable environment and management of water resources.


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Ninth Five-Year Plan (1998-2003): Could not materializedue to change of Government.

Ten-Year Perspective Development Plan (2001-2011): Byadopting strategies to reach the Millennium DevelopmentGoals (MDGs), the Ten-Year Perspective Development Plan

was launched into operation on 1st July, 2001. Its total size

has been fixed at Rs.11,287 billion in current prices out ofwhich Rs.8,747 billion have been envisaged as the investmentof private sector and Rs.2,540 billion as Public SectorDevelopment Program (PSDP).


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Millennium Development Goals.

Goal 1: Eradicating Extreme Poverty and Hunger

Goal 2: Achieving Universal Primary Education.

Goal 3: Promoting Gender Equality and Women Empowerment.

Goal 4: Reducing Child Mortality.

Goal 5: Improving Maternal Health.

Goal 6: Combating HIV/AIDS, Malaria and other Diseases.

Goal 7: Ensuring Environmental Sustainability.


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MTDF 2005-10 is to Eventually Realize the

Long Term Vision 2030

Developed, industrialized, just and prosperous Pakistan

through rapid and sustainable development in a resource

constrained economy by deploying knowledge inputs.


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MTDF 2005-10: Objectives

Establishing a just and sustainable economic system forreducing poverty and achieving Millennium Development Goals

Organised and disciplined movement towards an efficient, balanced,internationally competitive, environment friendly, and technologicallydriven knowledge economy for rapid and sustainable growth to becomean industrialized nation in 25 years

Evolving a mature, tolerant, democratic society which is developed

economically, culturally, ethically and imbibed with Islamic values ofmoderation and enlightenment, and at peace with itself and with the restof the world


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ManufacturingManufacturing

TechnologyTechnology

HRDHRDPolicyInstrumentsNo conflicts

Input from Technical

& Professional Orgns.

CompleteNational

Roadmapfor seamlessdevelopment

Technological Base

Associate Stakeholders

in Decision making

Support

Infrastructure

Human Resource

Development

Integrated System With

Checks & Balances

-Presidents Long

TermVision

-Integrated Approach

-Result Orientation

-Team Work(PM and

his Team)

Innovative Expansion of

National Vocational

Training Authority)

(Concerned

Ministries and

organizations)

(All Ministries)

Planning Commission

to assist for avoiding

conflicts

Planning Commission

in consultationwith all stake

holders

(All

Ministries)

Prov .

Govts

(HEC+ MOE+ Prov.

Govt.)

(MOST &

Hec)

(AllMinistries)

Prov .

Govts

(PM and his team

assisted by

Planning

Commission)


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The MTDF Size

2004-05 2005-06 2009-10 2005-10

Total Investment 1102.6 1257.4 1967.5 7951.9

FixedInvestment

999.3 1145.6 1815.7 7298.5

Public 286.2 356.2 712.1 2536.7

(PSDP) (202) (272) (597) (2042)

Private 713.1 789.5 1103.6 4761.8

Rs Billion


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Overall PSDP by Objectives

Objective MTDFAllocation

% share

Upgrading physical

infrastructure

993.2 48.6

Achieving MillenniumDevelopment Goals

681.5 33.4

Balanced Development 270.1 13.2

Accelerating output growth 66.3 3.2

Others 30.9 1.5

Total 2,042.0 100.0

Rs Billion


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Employment Generation (2005-10)

Sector

Employment

2004-05

Benchmark2005-06 2006-07 2007-08 2008-09 2009-10

Total

(6)(1)

1 2 3 4 5 6 7

Agriculture 18.59 18.74 18.90 19.07 19.24 19.42 0.84

Manufacturing 5.92 6.11 6.30 6.51 6.72 6.95 1.03

Electricity & Gas 0.29 0.29 0.29 0.29 0.30 0.30 0.01

Construction 2.52 2.62 2.73 2.85 2.98 3.11 0.59

Wholesale & RetailTrade

6.39 6.72 7.09 7.48 7.91 8.36 1.97

Transport &

Communication 2.47 2.55 2.62 2.70 2.79 2.89 0.41

Finance &

Insurance0.46 0.46 0.47 0.48 0.48 0.49 0.03

Community and

Social Services6.48 6.83 7.21 7.63 8.08 8.57 2.09

Total 43.15 44.36 45.66 47.04 48.53 50.12 6.97


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PAKISTAN- Vision 2030

Developed, industrialized, just and prosperous

Pakistan through rapid and sustainable

development in a resource constrained economy bydeploying knowledge inputs


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The Global Paradigm for Pakistan Only those countries would grow rich and powerful in the

21st century who: Position Themselves for Competitive Advantage

Generate Knowledge and Innovate for High Growth

Use Globalization to Attract Relocation of Manufacturing

, Design , and Services

Attract and Retain Foreign Funds including Foreign

Private Investment

Move Rapidly into Regional and Global Hubs FAILURE WILL LEAD TO MARGINALISATION


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Critical Challenges and Opportunities Dispersion of information and technology Climatic change Depleting natural resources of water, land,

and usable energy making Pakistan vulnerable Urban concentrations and growth of largecities with completely different dynamics

affecting all spheres of human activities Major demographic transitions

Many Challenges for 2030: Take Just Four


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Many Challenges for 2030: Take Just Four

Energy

Water and Agriculture Demographics

Urbanization

Energy for Growth: Energy security plan 2030 already approved (MTDF)

Total primary energy consumption to rise 7 fold

(55 to 360 MTOE by 2030)

Power generation : from 19,540 MW to 162,590 MW

Major shift planned: to coal, nuclear, and renewable

Pakistan is running out of useable, affordable energy more

efficient use absolutely vital


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Water and AgricultureHigh growth rates in agriculture unrealizable with:

Present technology, practice and attitude Low water storage, high wastage

Sub-optimal cropping pattern

Demographics: 218 million in 2030

(over 60 % urban)

To realize the dividend of demographic transitioninvestment in HRD is of critical importance:

Employment opportunities

Productivity increase


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Urbanization 2030 Global Urban Dwellers exceeded those in rural areas for

the first time in human history in 2005 [Shenzhen, a small

town, now has reached a higher population than London inonly 20 years]

In Pakistan, too, more and more settlements will growinto their equilibrium sizeoptimal and functional hierarchiesof settlements.

Pakistans urban population is projected to increase from thecurrent 55 million to about 130 m by 2030

another 70-80 million people in only 25 years!

Housing? Services? Slums? Unemployment? Social cohesion?


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The Changing Face of Competition

Competitive advantage will be achieved through:Excellence of public institutions

Knowledge, information, skill levels and

competence in technology .. and its assimilation

Macroeconomic environment restructuring andreform of the educational system

Enablers of the knowledge economy

Legal and regulatory infrastructure for IPR andresolution of commercial disputes

S li t F t f Vi i 2030


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Salient Features of Vision 2030

Fulfill the promise of a gifted nation by using

knowledge and all its manifestations to becomean affluent and progressive society

Raise quality of life for all citizens and regions

of Pakistan

Achieve competence in technology

Evolve a mature democratic and just society

Be an effective global player, not a target

Achieve all this within one generation

Pakistan Society 2030


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Pakistan Society 2030 Development measured by the quality of life

A prosperous society:

GDP to rise to USD 700 billion

High per capita incomes : rising to USD 3,000

Alleviation of poverty

Higher indices for health, education and life expectancy Social safety nets

An equitable society:

Common and shared destiny and vision

Respect for the rule of law

Equal opportunities for all

Protection of every citizen irrespective of ethnicity,

creed, gender or age

Pakistan Economy 2030


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Pakistan Economy 2030 Availability and quality of physical infrastructure

Excellence of public institutions

Internationally competitive, innovative, environment friendlyand technology driven

Higher levels of investment

Improvement in productivity through higher skills,knowledge inputs, better governance structures, improved

quality and encouraging brand names

Many more regional hubs and centers Major reduction in wastage

Preserving inter-generational equity while exploiting thenatural resources


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25 Years Quest for Excellence (Examples)

Education:

At least 10 universities would be among the top 200globally recognized.

Communications

Would be at the centre of major North-South andEast-West transport corridors.

Technology Centers

Known for its competitiveness, innovation, andproductivity

What should Karachi look like in 2030?


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What should Karachi look like in 2030?

One of the great cities of the world, noted for its quality oflife.

A diverse yet socially cohesive population of around

30 million pulsing with commerce and industry with creativeideas

Schools and universities eagerly sought for their educationallystimulating environments, with excellent and affordablehealthcare facilities.

A regional hub for electronics, pharmaceuticals andbiotechnology, as well as financial services

A major hub for travel sitting at the southern end of a majortransport corridor

All major cities and urban centers will define such visions


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Essence of SurvivalEvery morning in Africa, a Gazelle wakes up,

it knows it must run faster than the fastest Lion or it

will be killed. Every morning a Lion wakes

up, it knows it must outrun the slowest Gazelle or

it will starve to death. It does not matter whetheryou are a Lion or a Gazellewhen the sun comes

up; Youd better be running.


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how planning in done in pakistan

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