The government received total $ 488 million in foreign aid during July-December of FY06 against $815 million in the corresponding period of the last fiscal year.

The net foreign aid during the period also dipped as the government repaid $251 million in principal amount of the previous loans to donor agencies. The net foreign aid in the first six months of the current fiscal year stood at only $237 million.

In the first six months of FY05, the government repaid $241 million principal amount and the net foreign aid was $573 million.

In three of the six months of this fiscal year, the government's principal amount payment was more than what it received in foreign aid. The government paid $16.70 million principal amount in July, $1.30 million in August and $2.92 million in November.

Sources in the Economic Relations Division (ERD) said the project aid implementation under the Annual Development Programme was slow.

The government implemented only 22 percent of the total project aid allocation during the six-month period, the sources added.

Planning Ministry sources said the foreign aided projects are getting delayed due to complexity in appointing consultants and delay in tendering process. The project directors are also not efficient, added the sources.

The World Bank (WB) will give $ 300 million in the Health, Nutrition and Population Sector Programme (HNPSP) project of Health Ministry.

In the FY 06 the WB will release $ 70 million but up to December the ministry has not get more than half a million from the WB.

The project directors of HNPSP are all doctors and they are busy with their professional works and they have no expertise in tendering process.