ISLAMABAD: The Capital Development Authority (CDA) has more funds than that of the budget targets set for the fiscal year 2008-09 and no project would be postponed due to financial crunch. A senior CDA official on Wednesday said that the Authority had announced the annual budget for current fiscal year with the outlay of Rs 25 billion out which more than 20 billion was supposed to earn through auctioning of its land assets.
He categorically rejected the notion that the Authority was facing any financial crunch and was thinking to put off its development projects, rather he said after passage of first quarter of current fiscal, the Authority still possesses the reserves of more than Rs 12 billion.
The official said in any circumstances, the expenditures of the Authority cannot exceed Rs 14 billion on the execution of the projects announced during the budget for current fiscal.
He said the Authority could spent less than Rs 14 billion during the fiscal 2007-08 despite executing a lot of development projects including construction of 7th and 9th avenues, expansion of Murree Road, Islamabad Highway, development of 174 new parks, phase-I of F-9 Park, Daman-e Koh tourist resort, Rawal Lake park and dualisation of several other roads.
The official resolved that efforts are underway to double the reserves from present Rs 12 billion with the Authority to Rs 24 billion by end of this fiscal, adding that there is nothing to worry in this regard.
“CDA is the richest development body of the country with the land assets valuing thousands of billions rupees. We have enough land to sale on Islamabad Highway from Faizabad to Rawat, Peshawar Road up to Taxila, Blue Area from Citi Bank to sector F-11, and hundreds of pickets lying vacant in commercial areas or residential sectors,” he said.
The official assessed that the Authority even can meet the budget targets if it auctions the commercial land of only sector D-12, about which the Authority is planning to give possession to allottees by early next year. He said the Authority could not auction any commercial land during the period from March 2007 to the day as political uncertainty prevailed across the country, which kept the investors away from investing in the federal capital.
However, he said the situation has resolved now and the Authority is mulling to auction some of the commercial plots in the capital. When asked, he said the Authority is not concerned about the decreasing real estate prices and added that it would also invite foreign firms to invest in the Capital City and local private companies to develop residential sectors.