₹ 1.18 trillion budget to transform J&K economy
Union Finance Minister Nirmala Sitharaman announced ₹ 1.18 trillion budget for Jammu and Kashmir Union Territory (UT) for FY24 with a developmental capital expenditure of ₹ 41,491 crore.
With an aim to double the UT’s GDP within five years, the budget focuses on good governance, strengthening grass root democracy, employment generation, promoting sustainable agriculture and social inclusion.
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The Indian government in a bid to develop various sectors of newly recognized Union Territory Jammu and Kashmir has introduced ₹ 1.18 trillion budget for FY24. The budget will include developmental capital expenditure of ₹ 41,491 crore.
It is aimed at doubling the UT’s GDP within five years and has outlined good governance, strengthening grass root democracy, promoting sustainable agriculture, facilitating investment and industrial growth, employment generation, accelerated development and inclusive growth, women empowerment and social inclusion as its key pillars.
While introducing the budget, Finance Minister Nirmala Sitharaman said, “The capital component of the budget has increased substantially. The expected revenue receipts are ₹ 1,06,061 crore whereas revenue expenditure is expected to be ₹ 77,009 crore, thereby making available revenue surplus for capital expenditure to the tune of ₹ 29,052 crore”.
“The Capital receipts are projected at ₹ 12,439 crore and 35% of the earmarked Budget shall be spent on development and infrastructure projects”, Sitharaman added.
Some of the crucial highlights of the budget are mentioned below:
- An allocation of about ₹ 2,526.74 crore has been made under capital expenditure for agriculture and horticulture sectors.
- Health and medical education sector has been allocated ₹ 2,097.53 crore.
- ₹ 4,169.26 crore has been allocated for the development of rural sectors.
- Tourism and culture sectors has been allotted ₹ 457.39 crores.
- Jal Shakti department has been allocated ₹ 7,161 crore, whereas housing and urban development will get ₹ 2,927.04 crore.
Implementation of the Budget Funds
With an introduction to the budget, the government highlighted various key areas which include focus on connecting the state to the rest of the country through a rail network by the end of 2023 along with introduction to a light metro rail system in the upcoming Fiscal Year.
The budget promises functional tap connections to all 18.36 lakh households in Jammu and Kashmir by 2023-24, along with provision to drinking water with a minimum of 55 liters per capita per day and of prescribed quality on a regular, long-term and sustainable basis.
The budget also focuses on Tourism Mission initiative with developing 75 new destinations and 75 new tracks being opened up along with promotion of Film Tourism in 2023-24. Additionally, a new tourism vertical namely Caravan Tourism will be opened and Vista Dome Services will be operationalized on Baramulla-Banihal Railway stretch. Water parks will be developed at twin cities of Jammu and Srinagar and facilities will be created for water based activities at Dal Lake, Mansar Lake and Bhagliyar dam site.
Currently, the government is under process of identifying 50 tourist destinations all over India. It is expected that J&K will also come under focus in this regard, further boosting efforts to leverage the immense untapped tourism potential in the state. Additionally, the discovery of Lithium reserve in Reasi district of Jammu and Kashmir could help establish the state as India’s Lithium reserve which could invite multiple global investments. With several government initiatives and the recent allocation of a whopping ₹ 1.18 trillion budget, the UT is projected to embark on a swift road to development in the future.