A meeting of the Executive Committee of the National Economic Council (Ecnec) also decided to double the government support to private socio-economic development projects and to increase the funding for the Health, Nutrition and Population Sector Programme (HNPSP) by more than Tk 22,000 crore.

The meeting chaired by Finance Minister M Saifur Rahman reissued an Ecnec order dated October 12, 2005 asking the communications ministry to refer the Mymensingh Bypass project to the ACC following reports of suspected corruption. The meeting turned down a proposal of the ministry to go for only departmental actions against the project staffs involved in the anomalies.

"We found a lot of irregularities in this project. The ministry concerned has been asked to refer the project to the ACC so that appropriate action can be taken," Saifur told the press after the meeting.

The bypass project was approved in March 1998 with an estimated cost of Tk 19 crore. After a revision of the project to accommodate an additional Tk 10 crore spent without permission, the Ecnec formed a committee in December 2003 to probe into the matter.

The probe committee found a number of irregularities in implementation of various project components including survey, land acquisition and earth filling as well as carrying out extra work without the Ecnec's permission.

SUPPORT TO PVT DEV PROJECTS DOUBLED
The Ecnec meeting yesterday revised the regulations to increase the government funding for private socio-economic development projects outside the capital from the present 10 percent of the project costs to 20 percent.

The government support for projects in Dhaka City was increased from 25 percent of their costs to 40 percent.

Planning ministry sources say the Ecnec decision was aimed at encouraging the already significant contribution to the country's socio-economic development by private initiatives such as the Birdem hospital.

Meanwhile, increased donor interest led the Ecnec to widen both the size and the duration of the HNPSP. The allocation for the programme was raised from the current Tk 9,410 crore to Tk 32,450 crore.

The donors' contribution to the programme has been increased to Tk 10,793 crore, of which the World Bank alone accounts for Tk 1,950 crore and 11 other donor countries and organisations for the rest.

The programme that started in July 2003 now will continue up to June 2010 instead of June 2006 as scheduled earlier.

The Ecnec yesterday also revised the funding for 11 private higher secondary model schools at the six divisional headquarters at Tk 114 crore and approved expansion and modernisation work of Sylhet Osmani International Airport worth Tk 47 crore.