Mansoor Nizamani
The audit reports of Pakistan’s Auditor General for the fiscal year 2024–25 have once again raised an important question: how transparently and lawfully are the billions of rupees collected from taxpayers being spent? The reports on development projects, the Benazir Income Support Programme (BISP), the Pakistan Agricultural Storage and Services Corporation (PASSCO), the Agricultural Development Bank, and the Dasu Dam have revealed irregularities and administrative shortcomings that not only raise questions about the performance of public institutions but also fuel debate over the effectiveness of the country’s accountability system. It should be remembered that audit reports present preliminary observations and objections; any final determination of irregularity or legal liability can only be made after the completion of the relevant investigations and legal proceedings.
First, an examination of the funds released under the Sustainable Development Goals (SDGs) shows that during the fiscal year 2024–25, Rs 75 billion was released to federal ministries, divisions, and provincial governments. However, the Cabinet Division neither obtained the required monthly performance reports nor collected the mandatory project completion certificates. Consequently, the Auditor General was unable to verify whether the released funds had actually been spent for their intended purposes. Such shortcomings in the management of public funds raise serious concerns about transparency.
The audit report on Dasu Dam, one of Pakistan’s largest water and hydropower projects, reveals that the project was originally expected to be completed by December 2019 at an estimated cost of Rs 486 billion. However, due to administrative delays, the project’s cost increased by approximately Rs 1,251 billion, bringing the total estimated cost to Rs 1,737.88 billion. In addition, 654 acres of land have yet to be acquired, while the project’s revised completion target has been set for November 2028. Such prolonged delays have imposed a significant financial burden on the national economy.
According to the audit report on the Benazir Income Support Programme (BISP), the country’s largest social welfare programme, more than 12,000 government employees, pensioners, and their wives continued to receive benefits under the programme, with total payments exceeding Rs 510 million. The report also mentions 107 wives of officers in grades 17 to 20, 673 wives of employees up to grade 16, 9,124 wives of government employees in grades 1 to 15, 218 pensioners, and 1,847 wives of pensioners. If these payments were made in violation of the programme’s eligibility criteria or legal requirements, they should be thoroughly investigated to ensure that assistance reaches only those who genuinely qualify.
The audit report on PASSCO, the institution responsible for ensuring food security and maintaining strategic food reserves, also presents a worrying picture. According to the report, the organisation’s deficit exceeded Rs 20.47 billion, while its assets stood at Rs 552.95 billion and its liabilities exceeded Rs 554.73 billion. Although the government provided Rs 58.75 billion in subsidies, PASSCO had only Rs 970 million in cash at the close of the fiscal year. These figures indicate an urgent need for financial and administrative reforms in key institutions associated with Pakistan’s agricultural sector.
The audit report has also raised important concerns regarding the Agricultural Development Bank. According to the report, loans amounting to Rs 53 billion were written off between 2020 and 2024, while non-performing loans reached Rs 26.98 billion. During the past five years, the bank disbursed Rs 363.86 billion in loans, of which 84.52% went to Punjab, 9.59% to Sindh, 4% to Khyber Pakhtunkhwa, 0.46% to Balochistan, and 1.44% to Azad Jammu and Kashmir and Gilgit-Baltistan. Audit authorities have questioned the regional balance and transparency of this distribution, calling for an impartial review.
To address these irregularities and administrative weaknesses, the Auditor General has recommended introducing a Digital Monitoring System for development projects—a timely and significant proposal. If every development project in Pakistan were linked to a central online monitoring system from approval to completion, with every payment and progress report digitally recorded, the likelihood of financial irregularities could be greatly reduced. Such a system would provide audit institutions, Parliament, relevant ministries, and policymakers with timely and reliable information, enabling them to detect unnecessary delays, cost overruns, and the potential misuse of public resources at an early stage.
These audit reports clearly demonstrate that Pakistan’s core challenges are not merely a shortage of financial resources or a lack of development projects. Rather, the real challenge lies in ensuring transparent governance, effective oversight, strong institutions, and effective accountability. When projects worth billions of rupees proceed without proper monitoring, audit objections emerge in social welfare programmes, public institutions continue to suffer financial losses, and national projects are delayed for years, the consequences extend far beyond the national treasury—they also undermine public confidence in state institutions.
Ultimately, Parliament, the Public Accounts Committee (PAC), the federal and provincial governments, audit authorities, and all relevant institutions must not treat these reports as routine documents to be filed away. Instead, they should act seriously upon the observations and recommendations contained in them. Wherever violations of the law or financial irregularities are proven, those responsible should be held accountable without discrimination. Where administrative shortcomings exist, meaningful institutional reforms must be introduced. If the Auditor General’s reports are used as a genuine foundation for policymaking, accountability, and administrative reform, Pakistan can strengthen the protection of public resources while significantly improving institutional performance, transparency, and public trust.
