Charter of the Economy Focus of Federal PSDP on Reducing Backwardness: The Federal PSDP constitutes about 42 percent the public development spending in the country. The portfolio of projects consists both of trunk infrastructure of an inter-provincial nature and of projects which are more location-specific with benefits accruing to a region within a particular province. The three PSDP sectors with the largest outlays are highways, water resources and electricity Share of Cost of Intra­Provincial Highway Projects(%) transmission and distribution. A case study has been undertaken to identify the regional distribution of Punjab Projects 26.4 on-going and new projects of the Sindh Projects 9.3 National Highway Authority. Khyber-Pakhtunkhwa Projects 42,1 Baluchistan Projects 22.2 As highlighted above it comes as a TOTAL 100 surprise that Balochistan, with the biggest geographical area and a relatively underdeveloped road network has received lower priority in the allocation of development expenditure by the NHA than Punjab and Khyber-Pakhtunkhwa. A similar problem in the case of the water resources sector. A large part of the development spending is targeted towards Khyber-Pakhtunkhwa and large hydel projects. Balochistan again is the must water-short Province and needs a portfolio of relatively small projects. Fortunately, the collection of electricity transmission and distribution projects are focused more on improving the system in Balochistan in PESCO and QESCO, currently with higher losses, and on trunk infrastructure through NTDC. Provincial ADP allocations must accord due priority to social services where the level of human development is relatively low: The proposed distribution of ADP spending by type in 2020-21 Budget at the Provincial level is given in Table 25.16. Table 25.16: Shares in ADP Allocations in 2020-21 Social Services Infrastructure Punjab 29.0 23.1 Sindh 32.8 26.5 Khyber-Pakhtunkhwa 26.8 26.0 Baluchistan 25.8 44.4 TOTAL Production Sectors 5.2 6.2 9.2 6.0 Others* 42.7 34.5 38.6 23.8 (%) Total 100.0 100.0 100.0 100.0 *Includes allocations for special initiatives, Planning and Development Department, Lump Sum Allocations to Local Government, New Projects, etc. Source: Provincial ADPs 260