Jammu: The Jammu and Kashmir has been at the center of significant economic reforms, and the recent announcement by Lieutenant Governor Manoj Sinha has added another chapter to its transformation story.
Lt. Governor Sinha shared the achievements of Jammu and Kashmir’s Gross Domestic Product (GDP) experiencing substantial growth, reaching Rs 2.64 lakh crore in the fiscal year 2021-22 from Rs 1.6 lakh crore in 2018-19. This impressive upward trend, according to Sinha, can be attributed to the comprehensive reforms implemented by the government over the past four years.
At a press conference on last Sunday the Lt. Governor Manoj Sinha unfolded the intricacies of the Jammu and Kashmir Budget for the fiscal year 2024-25. The budget, he emphasized, is not just a financial document but a reflection of the felt needs and aspirations of the people. It underscores the administration’s commitment to ensuring peace, progress, and prosperity in the union territory. This in-depth analysis aims to dissect the various facets of the budget, highlighting its strategic goals, sector-wise allocations, and the envisioned developmental initiatives.
Strategic Goals and Focus Areas: The overarching objective of the 2024-25 budget is to accelerate the pace of economic development in the union territory and make it multi-dimensional. Lt. Governor Sinha emphasized that the budget is primarily “growth-oriented” and aligns with the government’s broader endeavors to double the economy in the next few years. The strategic goals outlined in the budget are diverse and comprehensive, covering a spectrum from good governance and grassroots democracy to sustainable agriculture, tourism promotion, and social inclusion.
Budget Size and Key Figures: The size of the budget for 2024-25 is a significant Rs. 1,18,728 crore, marginally surpassing the previous year’s allocation. This allocation is distributed into revenue receipt estimates of Rs. 97,861 crore and capital receipt estimates of Rs. 20,867 crore. The meticulous distribution underscores the government’s commitment to balanced and sustainable growth.
Sector-wise Allocation and Development Initiatives: One of the noteworthy aspects of the budget is its meticulous allocation across different sectors, each receiving targeted investments to address specific developmental needs. The budget delineates sector-wise allocations for administrative, social, infrastructure, and economic sectors. Capital expenditure contribution towards GDP is an impressive 14.64%, showcasing the government’s commitment to developmental projects that fuel economic growth.
Economic Growth and Fiscal Projections: Projections for Jammu and Kashmir’s GDP in the fiscal year 2024-25 are optimistic, with an expected growth rate of 7.5%. The tax/GDP ratio is anticipated to be 7.84%, reflecting a slight increase from the previous year’s ratio. These projections indicate a positive outlook for the economic landscape of the union territory.
Interim Budget Details: The interim budget provides a comprehensive overview of the financial aspects for the part of the financial year 2024-25. It includes estimates for total receipts, covering both revenue and capital, with a specific emphasis on own revenues, central assistance, and CSS/ PMDP contributions. Net expenditure projections cover both capital and revenue expenditures, offering a comprehensive snapshot of the financial landscape.
Sector-wise Key Features for 2024-25: The budget allocates substantial resources across key sectors, outlining specific initiatives and developmental projects. Notable sectors include Agriculture & Allied Sectors, Health & Wellness, Rural Development & Panchayati Raj, Tourism & Culture, among others. The detailed allocations and initiatives highlight a strategic and targeted approach to sector-specific development.
Agriculture & Allied Sectors: The budget allocates Rs. 2029.95 Crore under Capital expenditure for the Agriculture & Allied Sectors for 2024-25. Initiatives include the establishment of 2000 Kisan Khidmat Ghars, strengthening of Departmental Seed Multiplication Farms, and the implementation of the Competitiveness Improvement of Agriculture and Allied Sectors project.
Health & Wellness: The Health & Wellness sector, with an allocation of Rs. 1427.61 Crore under Capital expenditure for 2024-25, focuses on making two Cancer institutes at Jammu and Srinagar fully operational. The sector also aims to enhance DNB seats to 400, strengthen health records saturation, and conduct 100% screening of the 30+ age population for hypertension and diabetes.
Rural Development & Panchayati Raj: With an allocation of Rs. 3730.83 Crore under Capital expenditure for 2024-25, the Rural Development & Panchayati Raj sector aims to generate 400 lakh mandays under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). It also includes the completion of 80,000 houses under Pradhan Mantri Awas Yojana Gramin (PMAY-G) and the treatment of 26000-hectare area under Integrated Watershed Management Programme (IWMP).
Power Sector: The Power Sector, with an allocation of Rs. 1875 Crore under Capital expenditure for 2024-25, plans to extend power supply/grid connectivity to Tulail Valley in Gurez, create new grid sub-stations, and construct new transmission lines.
Tourism & Culture: The Tourism & Culture sector, with an allocation of Rs. 469.20 Crore under Capital expenditure for 2024-25, focuses on developing infrastructure and basic amenities in off-beat tourist destinations, border tourist villages, and the revival and restoration of heritage sites.
Water Supply & Irrigation: The Water Supply & Irrigation sector, allocated Rs. 5038.74 Crore under Capital expenditure for 2024-25, aims to provide functional household tap connections to all households, complete major medium irrigation schemes, and commission the Shahpur Kandi Dam.
Housing & Urban Development: The Housing & Urban Development sector, with an allocation of Rs. 2329.55 Crore under Capital expenditure for 2024-25, plans to implement sewerage treatment plants, revamp transport hubs, and complete pollution abatement projects.
Education: The Education sector, with an allocation of Rs. 1300.10 Crore under Capital expenditure for 2024-25, focuses on establishing kindergartens, upgrading school infrastructure, and constructing colleges and hostels.
Connectivity (Roads & Bridges): The Connectivity sector, allocated Rs. 4108.87 Crore under Capital expenditure for 2024-25, aims to black-top 4000 kilometers of roads and bridges under various schemes.
Industrial Development: The Industrial Development sector, with an allocation of Rs. 529.62 Crore under Capital expenditure for 2024-25, focuses on developing new industrial estates, rural employment guarantee programs, and revamping industrial estate policies.
Social/Tribal Welfare: The Social/Tribal Welfare sector, allocated Rs. 306.82 Crore under Capital expenditure for 2024-25, aims to cover all intellectually challenged persons under the Nirmaya Health Insurance Scheme, establish Anganwadi Centers, and provide link road connectivity to tribal populations.
Relief & Rehabilitation of Kashmiri Migrants: For the Relief & Rehabilitation of Kashmiri Migrants, the budget allocates Rs. 184.20 Crore under Capital expenditure for 2024-25. The focus is on completing transit accommodations and strengthening the basic infrastructure in migrant camps. In essence, the budget for 2024-25 for Jammu and Kashmir delineates a holistic vision for the region’s economic development. The emphasis on economic growth, social welfare, infrastructure development, and environmental sustainability is evident in the comprehensive allocations across various sectors. The strategic integration of technology in governance, as outlined in the e-Governance initiatives, underscores a forward-looking approach. As Jammu and Kashmir embarks on this developmental journey, the 2024-25 budget sets a roadmap for fostering prosperity, stability, and resilience. The comprehensive and inclusive path to progress ensures that the benefits of economic growth reach all sections of society. With a focus on strategic sectors, targeted initiatives, and a commitment to balanced growth, Jammu and Kashmir’s budget for the upcoming fiscal year stands as a testament to the region’s resilience and its aspirations for a brighter future.
