Budget Bonanza: Rs 1.18 Lakh Crore Package Aims to Revolutionise J&K's Economy

Srinagar, Aug 09: The Parliament has given its nod to a landmark budget of Rs 1,18,390 crore for Jammu & Kashmir (J&K) for the fiscal year 2024-25, setting the stage for a transformative year in the Union Territory's economic landscape. This budget, which surpasses last year's pre-actuals by an impressive Rs 30,889 crore, marks a significant step towards fiscal reforms and comprehensive development in the region.

The approved budget allocates Rs 81,486 crore for revenue expenditure and Rs 36,904 crore for capital expenditure. This substantial increase has been made possible through a special financial support package of Rs 17,000 crore approved by the Central Government, addressing the persistent challenges in J&K's power sector and off-budget borrowings.

The budget covers a wide array of sectors, with significant allocations for power sector reforms, infrastructure development, education, healthcare, rural development, and social security. It includes Rs 9,400 crore for power subsidies and support, Rs 3,983 crore for road and bridge construction, and Rs 1,875 crore for rejuvenating school education infrastructure. The Jal Jeevan Mission receives Rs 1,714 crore to improve rural water supply, while Rs 1,484 crore is earmarked for Smart City projects and urban infrastructure development.

Lieutenant Governor Manoj Sinha, Chief Secretary Atal Dulloo, and Principal Secretary Finance Santosh Vaidya played pivotal roles in securing this financial package. The Central Government's support follows a thorough review of J&K's fiscal performance by the Union Home Minister and Union Finance Minister.

This budget is expected to reduce J&K's fiscal deficit to GDP ratio to 3.0% in 2024-25. The Union Government will also provide Rs 12,000 crore for J&K Police expenses and a special grant of Rs 5,000 crore.

The comprehensive financial plan aims to boost various sectors, including agriculture, tourism, industry, and healthcare. It also focuses on employment generation, startup ecosystem development, and the implementation of new policies to stimulate the region's economy. Special provisions have been made for the welfare of Kashmiri migrants and the development of tribal areas.

As J&K embarks on this ambitious financial journey, the coming year is anticipated to bring significant changes to the UT's economic landscape. The budget's wide-ranging focus on development and progress positions J&K for potential transformation into a model of economic growth in the country. With this record budget allocation, all eyes are now on the implementation and the impact it will have on the lives of the people in Jammu & Kashmir.