Budget 2025-26 Speech of CM Omar Abdullah.

Budget 2025-26 Speech of CM Omar Abdullah

Chief Minister and the Minister of Finance

1. With great humility and a profound sense of duty, I
stand before you today to present my first Budget as
Finance Minister—marking the first Budget of an
elected government in seven years. While it is an
honour, I am acutely aware of the weight of
responsibility that comes with being the custodian of
Jammu and Kashmir’s finances at this crucial
juncture. This Budget is more than just a financial
statement—it is a roadmap for a new and prosperous
Jammu and Kashmir, reflecting the aspirations of our
people and laying a strong foundation for economic
growth, social progress, and sustainable
development. As we navigate challenges and
embrace new opportunities, I seek the unwavering
support and active collaboration of every Hon’ble
Member of this august House. Together, transcending
political differences, we must unite to fulfil our
shared commitment to building a stronger, self-reliant
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Jammu and Kashmir, working for the greater good of
our people.
2. The journey of Jammu and Kashmir has been one of
resilience and determination. Our government is
committed to transforming J&K into a modern,
progressive, and economically vibrant region. Our
government endeavors to frame a roadmap to reclaim
the prudence, sagacity and self-confidence which
have been the cornerstones of our identity for
generations. Our challenges are vast, and our
limitations are many. But we must collectively pledge
to confront those challenges head-on, with
unwavering resolve. I have endeavoured to prepare
this maiden Budget as a true reflection of the dreams
of our people, the needs of our future generations, and
the aspirations of every citizen of Jammu and
Kashmir.
3. I once again express my gratitude to the people of
Jammu and Kashmir for their enthusiastic and
confident participation in the recent Assembly
Elections. The unprecedented voter turnout is a clear
testament to their unwavering resolve to move
beyond the shadows of past turmoil and actively
contribute to the journey of development and
progress. By granting us a strong mandate, they have
entrusted us with the responsibility to serve them.
Today, they look to the government with renewed
hope and expectationsfor an environment that fosters
political empowerment, meaningful employment,
sustainable development, social inclusivity, and
robust economic growth. I assure them that we will
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serve them with sincerity and fulfill their aspirations
for a prosperous and thriving Jammu and Kashmir.
4. The restoration of full statehood is a deeply cherished
aspiration of the people of Jammu and Kashmir, and
our Government remains resolute in working towards
its fulfilment.
5. My government is committed to strengthening
grassroots democracy by empowering Panchayati Raj
Institutions and Urban Local Bodies, which play a
crucial role in local governance and development.
Our Government is committed to holding elections to
these bodies, reinforcing our commitment to
accountable, inclusive, and decentralized governance
for the holistic development of Jammu and Kashmir
6. This Budget emphasizes inclusive growth, fiscal
prudence, and strategic investments in infrastructure,
agriculture, industry, healthcare, education, and
digital governance. We are focused on bridging
regional disparities, empowering youth and women,
and fostering a business-friendly environment to
attract investment and innovation. To ensure this
Budget truly reflects the aspirations of our people, we
engaged with elected representatives, industry
leaders, and key stakeholders, incorporating their
insights to create a people-centric roadmap for a
better quality of life for all. We have also set new
standards of engagement with and feedback from
people’s representatives by directly engaging with
each Member of this august House in the budget
consultation process.
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7. Jammu & Kashmir is at the threshold of a new era of
peace and prosperity, with a semblance of normalcy
returning after over three and a half decades of
turmoil. This improved environment is contributing
to economic progress, with J&K’s economy
expanding from ₹1,64,103 crore in 2019-20 to
₹ 2,45,022 crore in 2023-24. In 2024-25, the primary,
secondary, and tertiary sectors are projected to
contribute 20.00%, 18.30%, and 61.70% to GSVA,
respectively. It is a testament to the strong
foundations laid by the leadership of J&K that despite
its geographical challenges and the multi-decade
turmoil, the socio-economic indicators continue to
remain robust. I am confident that J&K will emerge
as a leading region in development, playing a vital
role in our vision of a developed India by 2047.
IMPROVING OUR FISCAL SITUATION
8. Because of our historical challenges of high
committed expenditures and limited revenue streams,
Jammu & Kashmir has been facing consistent fiscal
stress. Own tax and non-tax revenues cover only 30%
of revenue receipts and 25% of budgetary needs. An
unfavourable geographical location and years of
unrest have hindered industrialization, straining
resources and deepening constraints. This has been
compounded by the fact that circumstances have not
allowed us to fully harness the sectors in which we
have the potential. As a result, J&K remains heavily
reliant on central grants and often requires ways and
means advances and overdrafts to manage liquidity.
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9. Over the past months, we have made significant
strides in expanding revenue, curbing non-priority
spending, and enhancing fiscal transparency. GST
compliance has improved through rigorous
monitoring and dealer expansion. To further
strengthen revenue realization, we will continue
implementing GST tracking for capital works and
risk-based e-way bill verifications. Additionally, red-
flagged cases will be closely scrutinized using inputs
from the Business Intelligence Unit (BIU) and GST
Network (GSTN) to prevent leakages and ensure a
more robust tax administration.
10. The government has successfully introduced e-
Stamping for registrations and launched the e-Abgari
platform for the Excise sector, ensuring greater
transparency in excise auctions. With robust
improvements in billing, metering, and digitization,
non-tax revenue has risen to ₹5,824 crore as of
January 31, 2025, while tax revenue has reached
₹11,650 crore—both set to exceed last year’s
collections.Moving forward, we will continue to
build on these initiatives to further enhance revenue
generation and fiscal management.
11. The government’s fiscal stress stems from high
committed expenditures, over 70% of total spending,
with salaries and pensions alone accounting for
nearly 60% of revenue expenditure. Additionally,
high AT&C losses and power sector under-recoveries
further strain finances.
12. We are reforming metering, billing, and collection to
strengthen the power sector. Under-recovery has
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dropped from ₹6,552 crore in 2022-23 to ₹5,244
crore in 2023-24, with a target of ₹4,200 crore in
2024-25. Expanding the consumer base, smart
meters, online billing, and aerial bunched cables are
driving this turnaround.
13. High AT&C losses resulted in huge outstanding
liabilities for power purchase, for which ₹28,000
crore were borrowed in the last few years, raising
public debt from 48% of GSDP in FY 2015-16 to
52% in 2023-24. To mitigate this, we are reducing
high-cost debt, optimizing liabilities, and calibrating
the repayment schedules for long-term fiscal stability.
14. To tackle fiscal challenges, we are curbing non-
priority spending, saving through the
austeritymeasures in place. Aadhaar seeding and
biometric verification are streamlining welfare
databases in the food supply and social security
sectors.
15. To enhance fiscal transparency, all developmental
expenditures are available on the Empowerment/Jan-
Bhagidhari portal for public scrutiny. Additionally,
independent officers are systematically verifying
projects, ensuring timely completion and quality
execution.
16. We are strengthening debt sustainability by keeping
all borrowings within approved limits and pursuing
fair apportionment of J&K’s erstwhile public debt
between the successor UTs. We have also started
contributing to RBI’s contingency funds—CSF for
debt repayment during stress and GRF for sudden
financial obligations.
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17. Taking advantage of the favourable business and
banking cycle, J&K Bank has continued its reform
journey, strengthening capital adequacy, corporate
governance, and professional management. These
efforts have revitalized its financial health, with
operating profit expected to rise to ₹2,100 crore this
year from ₹1,760 crore last year.
18. We have introduced a key reform in pension
management to address delays in account
reconciliation and mounting reimbursement dues.
J&K Government now ensures timely pension
reimbursements to J&K Bank with zero dues from
July, 2024. These reforms will continue to drive
efficiency and transparency in pension management.
19. We are strengthening fiscal discipline by curbing the
reliance on Hundis and overdrafts. Improved liquidity
management has significantly reduced the
government’s need for ways and means advances or
overdrafts. This Budget lays the foundation for a
fiscally prudent development path.
20. Given the favourable fund-sharing pattern of
Centrally Sponsored Schemes (CSS), we are making
full use of the opportunity through faster execution,
timely submission of UCs, and proactive engagement
with central ministries. As a result, CSS receipts have
risen sharply from ₹5,997 crore in 2022-23 to
₹10,324 crore in 2023-24, and we aim to sustain this
momentum. Additionally, we are enhancing the
efficiency of developmental spending and promoting
private sector participation to complement
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government finances and accelerate J&K’s growth
trajectory.
21. Jammu & Kashmir continues to face significant
infrastructure deficits in areas like road connectivity,
water supply, sewerage, tourism, and power.
Addressing these challenges requires substantial
financial resources and continued support from the
Central Government. This year, we actively engaged
with the Central Government, resulting in the
formation of an expert committee to resolve fiscal
issues. I met with the Hon’ble Prime Minister, Union
Home Minister, and Union Finance Minister on
multiple occasions. I am pleased to share that our
efforts have paid off—the Central Government has
approved special assistance for J&K and will support
fiscal reforms to enhance revenue and expenditure
management.
22. The budget for J&K Police, which was around 11%
of our allocation, has been migrated to the MHA
budget from 2024-25 onward. In addition to this,
J&K will receive an extra ₹5,000 crore in grants for
2024-25 and 2025-26. I sincerely thank the Hon’ble
Prime Minister, Union Home Minister, and Union
Finance Minister for their unwavering support in
strengthening J&K’s fiscal health and realizing its
vision for growth and prosperity.
23. Due to our fiscal reforms and central assistance, the
fiscal deficit will be reduced, bringing us closer to our
FRBM target. Jammu and Kashmir’s economy is
projected to grow at 7.5% in 2024-25, with an
estimated GSDP growth of 9.5% in 2025-26. This
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momentum will be driven by strategic policy
measures, infrastructure development, and business-
friendly initiatives.
ENHANCING TRANSPARENCY AND RESPONSIVENESS
IN GOVERNANCE
24. Good governance is key to a prosperous and inclusive
future. Prioritizing transparency, accountability, and
citizen participation, we are empowering local
communities and ensuring equitable resource
distribution. Digital governance, streamlined public
services, and socio-economic initiatives are
strengthening public trust and accelerating
development.
25. To ensure prompt and transparent public service
delivery, the Jammu and Kashmir Public Services
Guarantee Act was enacted by ourGovernment in
2011. Today, J&K leads in digital governance with
1,166 online services on the e-Unnat portal, over 500
e-services integrated with the Rapid Assessment
System (RAS), 387 services under PSGA, and 104
services linked to DigiLocker for secure and
accessible documentation.
26. Our Government is committed to transparent and
efficient grievance redressal through the JK
SAMADHAN & RAABITA platforms, in
collaboration with BISAG-N. These initiatives
provide auto-routing of grievances, multilingual
support, mobile app access, an appeal system, real-
time tracking, and feedback analysis. A toll-free call
center (1905) ensures accessibility for all citizens.
The RAABITA initiative allows direct grievance
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registration through the Chief Minister’s Public
Services and Outreach Office, ensuring swift
resolution. These efforts strengthen citizen
engagement and governance transparency, ensuring
every voice in Jammu & Kashmir is heard.
27. Jammu & Kashmir ranks high in the SDG India Index
2023-24. To further improve our SDG ranking, our
Government will strengthen data-driven monitoring,
improve resource allocation, and implement
evidence-based policies. We are committed to
aligning the budget with SDGs and advancing
Outcome-Based Budgeting and Monitoring.
28. Our Government is committed to fully implementing
Direct Benefit Transfer (DBT) to eliminate leakages
and ensure 100% Aadhaar seeding for timely fund
transfers. To address delays in Old Age, Widow, and
Disability pensions, we are transitioning to an
Aadhaar-based payment system in phases, ensuring
efficiency and transparency in welfare
disbursements.
UNLOCKING ECONOMIC AND INDUSTRIAL
POTENTIAL
Agriculture and Allied sectors
29. Agriculture and allied sectors are crucial for the
livelihoods of most of our population. Our flagship
Holistic Agriculture Development Program (HADP),
with a ₹5,013 crore outlay until 2027-28, is reshaping
subsistence farming into a commercial agri-economy.
For 2024-25, ₹815 crore has been allocated, aiming
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to double value addition, boost growth by 11%, create
2.88 lakh jobs, and establish 19,000 enterprises.
30. The Competitiveness Improvement of Agriculture
and Allied Sectors Project (JKCIP), backed by a $100
million investment from IFAD and ₹117 million from
the J&K Government, will support climate-smart
farming and benefit around 3 lakh households.
Combined with HADP, these initiatives amount to
₹6,813 crore and will transform J&K’s agricultural
landscape, enhancing farmer incomes and
contributing significantly to the state’s economy.
31. To boost farm productivity and income, we aim to
introduce a two-crop pattern across all agricultural
land.Strengthening irrigation, improving market
access, and promoting sustainable farming are the
key priorities of the Government.
32. Horticulture is a vital sector for J&K’s economy,
contributing significantly to GSDP and supporting
millions of people. We aim to increase the area under
horticulture crops to 3.75 lakh hectares and boost
production by 15-20% over the next five years.
High/Medium Density Plantations will expand by
5,500 hectares by 2026-27, and Controlled
Atmosphere (CA) storage capacity is targeted to
reach 6 LMT by 2029.
33. In the dairy sector, additional units will be established
to increase milk production, ensuring self-sufficiency
and improved livelihoods. For fish production, the
focus will be on expanding trout farming and other
aquatic species to boost yields and sectoral growth.
These initiatives will support farmers, create jobs,
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and promote greater self-sufficiency in agricultural
and allied products.
34. To further enhance farmers’ economic security, we
will continue expanding the Kisan Credit Card
Scheme and aim to establish 2000 Agri Business
Centers (Kisan Khidmat Ghars) for wider access to
advisory services and market insights.
35. Efforts to enhance farm credit include revitalizing
537 PACS, with 47 as CSCs, 96 as PMKSKs, and 20
as PMJAKs, along with the registration of 450 new
cooperatives and 50 functional FPOs. Additionally,
Super Bazars will be established in Kupwara,
Bandipora, and Poonch, and key agricultural
initiatives will improve infrastructure, including
Mushroom Units, a Medicinal Plants FPO Park,
compost units, and cold storage facilities.
36. J&K produces some of the finest quality wool.
Despite its superior quality, J&K’s wool fetches low
prices, dropping from ₹100 to less than ₹30 per kg
due to weak market and industry linkages. The wool
and pelt sector has the potential to generate ₹135
crore annually. To address this, the Industries
Department will introduce advanced wool processing
technologies, provide training to entrepreneurs, and
frame a policy to attract private and corporate
investments in wool processing mills.
37. J&K has significant potential for establishing a
leather tanning industry. Currently, around 5,000-
6,000 pelts produced daily in Kashmir go to waste
due to the absence of processing facilities. To harness
this opportunity, the government will formulate a
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policy to promote leather tanning industries, ensuring
value addition. Processing these skins into pelts and
leather will contribute an additional ₹100 crore to
J&K’s economy.
For the year 2025-26, an allocation of ₹2,221.58 crore
has been made under capital expenditure for
Agriculture and Allied Sectors, marking an increase of
₹332.72 crore over the revised allocation of 2024-25.
This enhanced funding will support key initiatives
aimed at strengthening the sector and boosting
farmers’ income.
Rural Economy
38. Building a resilient rural economy is a key priority for
our Government. Alongside J&K’s natural beauty
and rich agriculture, we must enhance rural
sanitation. I propose 2025 as the “J&K Green
Mission” year to unite communities in making
villages clean and green through waste segregation,
proper disposal, and vermi-composting.
39. To ensure sustainability, the government will
implement the Own Source Revenue (OSR) policy,
aiming to make every village panchayat self-
sufficient over the next five years. Under Pradhan
Mantri Awas Yojana – Gramin, 3.40 lakh houses are
sanctioned, with 50,000 more to be built in 2025-26,
providing quality housing and improved living
standards for rural households.
40. MGNREGA ensures guaranteed rural employment,
benefiting 6.46 lakh households in J&K. So far, 9.87
lakh workers have been employed. In the next
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financial year, the goal is to generate 400 lakh person-
days and create over 2 lakh assets, focusing on the
vulnerable population.
41. NRLM has nurtured one lakh SHGs, empowering
women across J&K. The mission aims to transform
2.33 lakh Potential Lakhpati Didi households into the
Lakhpati fold within two years, with 29,000 already
achieving this milestone.To boost women’s
participation in the rural economy, 1.5 lakh women
farmers will receive training under NRLM. The
UMEED program will establish 14,763 SHGs,
linking 12,000 SHGs to banks and benefiting 1.32
lakh households.
42. By March, 2026, 500 new Panchayat Ghars and 500
additional CSC rooms will be completed. For the
2024-25, District Capex Budget of ₹1,865.69 crore,
the target includes continuing the 3,327 ongoing
works and initiating 41,640 new works. Physical
verification of 100% works will be carried out to
ensure transparency and accountability. The
government is focused on completing these projects
and enhancing infrastructure for better public service
delivery.
The Rural Sector has been allocated ₹3,773.93 crore
under capital expenditure for 2025-26, an increase of
₹990.04 crore from the revised 2024-25 allocation.
Tourism
43. Tourism is deeply ingrained in the culture and
economy of Jammu & Kashmir. In 2024, we achieved
a record 2.36 crore tourist visits, reaffirming J&K as
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a premier destination. The Gulmarg Gondola alone
attracted 7.68 lakh visitors, while the Kashmir
Marathon in October, 2024, with 1,800 global
participants, placed J&K on the international
marathon map.
44. Additionally, offbeat destinations like Shiv Khori,
Mansar-Surinsar, Patnitop, Doodhpathri, and Lolab
are gaining popularity. The revival of border tourism
in regions like Gurez, Keran, Karnah, and Suchetgarh
is not only expanding our tourism footprint but also
driving local economic growth.
45. The tourism sector, granted industry status, has seen
strong growth. Our Government will develop new
master plans for key destinations like Gulmarg,
Pahalgam, and Sonamarg, while enhancing
infrastructure and amenities in new tourism hubs.
Under the Home Stay Policy, our Government will
expand the number of registered homestays, aiming
to increase quality accommodation options and
generate more livelihoods. We will focus on
promoting this model in rural and offbeat areas to
enhance tourism while ensuring sustainability and
community involvement.
46. To promote sustainable tourism, our Government is
vigorously pursuing multilateral and central funding
through the SPREAD (Sustainable Promotion of
Emerging Alternate Destination) initiative. This will
help develop world-class alternative destinations
across J&K, reducing the strain on heavily visited
locations. With the Government of India’s support,
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the initial planning phase is in progress to ensure
long-term growth and broader tourism benefits.
47. Recognizing the immense potential of Jammu &
Kashmir’s water bodies, we are prioritizing water
sports promotion, including kayaking, canoeing, and
paddle boating. Tourism assets at Manasbal are being
enhanced, and jet skiing, speed boating, and
houseboats are being developed at Ranjit Sagar Lake.
48. Our winter sports infrastructure has seen significant
upgrades, with drag lifts operational in Sonamarg and
Gulmarg. With the inauguration of the Z-Morh
Tunnel, Sonamarg has become an all-weather
destination, unlocking its potential for international-
standard skiing and ice-skating facilities. I envision
Sonamarg as a future hub for winter games, alongside
Gulmarg, strengthening J&K’s position as a leading
winter sports destination.
49. Our Government recognizes the need to expand
tourism in the Jammu region and is committed to its
transformation into a premier destination. A state-of-
the-art water park at Dwara Village near Sidhra Golf
Course under the PPP modelwill be developed by our
Government. Jambu Zoo is being expanded with new
species and exotic birds. Basohli is emerging as an
adventure tourism hub, while a vertical lift will soon
connect Peerkho to the historic Mubarak Mandi
Complex. Additionally, a proposal for a Convention
Centre near Sidhra Golf Course is being explored
under PPP mode. Our Government remains dedicated
to strengthening infrastructure and positioning
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Jammu as a key hub for pilgrim, cultural, adventure,
and heritage tourism.
50. Jammu & Kashmir is also re-emerging as a prime
filmmaking destination, attracting global producers.
To further boost film production, our Government
will operationalize the Film Policy, making J&K a
preferred shooting location.
51. However, waste management remains a critical
challenge at tourist sites, particularly plastic waste
accumulation. To address this, our Government will
formulate an Eco-Tourism Policy to establish J&K as
a world-class sustainable tourism destination,
ensuring environmental conservation alongside
economic growth.
52. To further strengthen the Tourism and Hospitality
sector, I propose to constitute a multi-stakeholder
Advisory Committee to address key issues and
recommend policy measures. Our goal is to increase
tourism’s contribution to GSDP from 7% to at least
15% over the next 4 to 5 years.
53. Jammu & Kashmir is on a transformational journey
to becoming a global tourism powerhouse, blending
sustainability with economic prosperity.
To further strengthen the tourism sector, our
Government has allocated ₹390.20 crore under capital
expenditure for 2025-26, an increase of ₹121.77 crore
over the revised allocation for 2024-25. This enhanced
investment will drive infrastructure development,
sustainability initiatives, and new tourism projects,
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reinforcing Jammu & Kashmir’s position as a leading
global destination.
Industrial Development
54. Our Government is making steadfast efforts to attract
investment, create employment opportunities,
develop backward regions, and expand industries. To
fully harness the potential of the ₹28,000 crore
industrial package and ensure its success, we are
undertaking a comprehensive review of the existing
policies. We are committed to ensuring that land
allotments for the setting up of industries translate
into real investment flows and tangible employment
generation, thereby ensuring that the industrial policy
delivers its promised benefits to the people of Jammu
& Kashmir.
55. Jammu & Kashmir currently has 64 industrial estates,
with 46 more under development, fulfilling our vision
of ‘Made in J&K.’ We are committed to ensuring
infrastructure development in these estates, including
provision of dedicated dwelling units/laboursarais for
the workforce within the estates.
56. We are also streamlining SGST reimbursement and
turnover incentives while encouraging new industries
in IT, renewable energy, biotechnology, and
incubation centers. To strengthen industry
collaboration, we will constitute an Advisory
Committee on Industries, ensuring regular
engagement with businesses.
57. Jammu and Kashmir has made significant progress in
building a thriving startup ecosystem, but challenges
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remain in funding access, incubation, mentorship,
and market linkages. To bridge these gaps, we will
strengthen the Venture Capital Fund, enhance
incubation partnerships, and improve market access
while ensuring regular policy reviews. I propose an
allocation of ₹50 crore this year to support
financial aid, mentorship, and incubation for
emerging entrepreneurs. These measures will foster
innovation, empower startups, and position Jammu
and Kashmir as a dynamic hub for entrepreneurship.
58. I am pleased to share that government departments
have significantly boosted local enterprises through
procurement on the GeM portal. Over the past year,
purchases from local suppliers have risen to
₹1,527.74 crore, including ₹1,010.54 crore from
MSMEs and ₹517.2 crore from non-MSMEs—a
remarkable 165% increase from 2021-22. Jammu &
Kashmir-based businesses are also expanding
nationally, supplying goods and services worth
₹4,099.09 crore on GeM, with MSMEs contributing
₹2,763.5 crore and non-MSMEs ₹1,335.59 crore—an
impressive 85% growth from 2021-22.
59. Our Government recognizes the concerns of traders
regarding challenges on the GeM platform, including
increased competition and compliance requirements.
To address this, the government will bring a new
policy to provide price preference to local MSMEs
in public procurement. This initiative will create a
more level playing field, ensuring fair opportunities
for J&K-based businesses to grow and compete
effectively.We are simplifying processes, raising
awareness, and providing support to help local traders
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benefit from GeM. Our focus is on making digital
procurement an enabler, expanding opportunities,
and ensuring sustained growth for J&K businesses.
60. To support MSMEs further, we will expand
CGTMSE scheme coverage, implement the Raising
and Accelerating MSME Performance (RAMP)
scheme, and launch MSME Health Clinics, Skill
Development Programs, and Buyer-Seller Meets. We
are also promoting ‘Brand J&K’ by focusing on
pashmina, saffron, and handicrafts. Thirteen
traditional crafts are in advanced stages of
Geographical Indication (GI) registration, with seven
more crafts targeted this year, ensuring global
recognition and protection of J&K’s rich heritage.
61. The Handicrafts and Handloom Sector supports 4.22
lakh people, mostly from economically weaker
sections. Srinagar’s recognition as a ‘World Crafts
City’ and inclusion in UNESCO’s Creative City
Network is a proud achievement. To empower
artisans, PM Unity Malls will be developed in
Srinagar and Jammu for direct market access, the
Karkhandar Scheme will be expanded, and universal
coverage under the Artisan Credit Card (ACC) will
be ensured. Key policies, including the J&K Public
Procurement, Logistic, and Export Policies, will be
introduced to strengthen the business ecosystem and
boost global market access.
Mining
62. Our government is committed to ensuring the
availability of essential construction materials at
reasonable prices while protecting local communities
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and preserving our ecological heritage. To promote
sustainable resource extraction, District Survey
Reports (DSRs) have been finalized for all districts,
with nine already approved by the J&K Environment
Impact Assessment Authority. To combat illegal
mining, a technology-driven regulatory framework,
including a Mining Surveillance System using
satellite imagery, will be implemented in
collaboration with BISAG. Additionally, handheld e-
challaning devices will be used for enforcement.
These measures will ensure a responsible,
transparent, and sustainable mining sector,
supporting development while safeguarding the
environment.
63. Jammu & Kashmir is on the path to becoming an
industrial and entrepreneurial powerhouse, blending
tradition with modern innovation to create
sustainable economic growth.
For the Industries Sector, a capital expenditure
allocation of ₹602.85 crore has been made for 2025-26,
reflecting an increase of ₹291.44 crore over the revised
allocation for 2024-25, reinforcing our commitment to
industrial growth and development in Jammu &
Kashmir.
IMPROVING THE QUALITY OF LIFE
Healthcare
64. Jammu & Kashmir’s healthcare sector has grown
rapidly, with over 4,000 health facilities, including
two AIIMS, two Cancer Institutes, and two Bone &
Joint Hospitals. AIIMS, Jammu is operational, and
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AIIMS, Kashmir will be functional by 2025-26.
GMC, Udhampur is nearing completion, and the
work on Government Homeopathy Medical College,
Kathua will be expedited. Additionally, the Modern
Drug Testing Laboratory in Kathua will be
operationalized with key posts filled to ensure smooth
functioning.
65. Additionally, 30-bedded Emergency Medicine
Departments will be established in all GMCs, and 10
Nursing Colleges will be fully equipped with faculty
and staff. The GMC, Handwara project will be fast-
tracked with immediate site selection.
66. Jammu & Kashmir will expand MBBS seats,
postgraduate courses, and B.Sc. Nursing and
Paramedical Colleges to strengthen medical
education. Tertiary care facilities will be enhanced,
and advanced medical courses will be introduced to
ensure quality healthcare across the region.
67. Under the SEHAT initiative, all residents receive free
health insurance of ₹5 lakh per family. With 85.49
lakh Golden Cards issued and 251 hospitals
empaneled, we are ensuring quality healthcare
access. Moving forward, implementation gaps will be
addressed to enhance efficiency and equitable service
delivery across Jammu & Kashmir.
68. Recognizing Telemedicine as a solution to our
geographical challenges, the Government aims to
integrate telemedicine services across various
medical specialties, improving healthcare
accessibility. Infrastructure will be strengthened to
support seamless teleconsultations, AI-powered
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diagnostics, e-prescriptions, and remote monitoring,
ensuring efficient and affordable healthcare for all
residents.
69. Our Government will shortly roll out the SEHAT
App to revolutionize healthcare in Jammu and
Kashmir. This app will provide teleconsultation
services, online doctor appointments in government
hospitals, and a digital health records system
integrated with AB-PMJAY-SEHAT insurance for
seamless coverage access. Key features include AI-
powered diagnostics, e-prescriptions, medicine
delivery, emergency health support, ambulance
services, and real-time updates on preventive care,
vaccinations, and wellness programs, ensuring
accessible, affordable, and efficient healthcare for all
residents.
70. Our government is committed to strengthening the
healthcare infrastructure in Jammu & Kashmir to
ensure accessible and quality medical services for all.
To enhance medical facilities, we have doubled the
funding for machinery and equipment to ₹400 crore.
Three new Cath Labs will be established—one each
in North Kashmir, Pir Panjal, and Chenab Valley—
with a budgetary provision of ₹45 crore. Over the
next three years, MRIs and PET scanning services
will be made available in all new Government
Medical Colleges (GMCs), while CT scan services
will be fully implemented in all district hospitals with
an allocation of ₹110 crore. Dialysis services will be
expanded to all 83 Sub-District Hospitals (SDHs) and
Community Health Centres (CHCs) over the next two
years, with an additional ₹16.80 crore allocated for
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new dialysis centres in 40 SDHs/CHCs in the next
financial year. To achieve TB-free status and also
enable early detection and screening of other ailments
at grassroots level,100 portable AI-based X-ray
machines will be provided to district and sub-district
hospitals over the next two years, with ₹16.50 crore
allocated for 50 units in 2025-26. Additionally, we
are establishing a 250-bedded Mother & Child Care
Hospital (MCCH) at Janglat Mandi, Anantnag, at an
estimated cost of ₹86 crore.
71. To strengthen medical research and emergency
services, ₹10 crore has been proposed for research in
medical education over the next two years, along with
₹7 crore each for GMC, Jammu and GMC, Srinagar
for the creation of Emergency Medicine Departments
over a three-year period. An additional maintenance
grant of ₹32 crore has been allocated for oxygen
generation plants, lifts, toilets, and ramps. We are
also establishing a Government Homoeopathy
Medical College and Associated Hospital at Rakh
Hoshyari, District Kathua, at an estimated cost of ₹52
crore. Furthermore, an additional ₹10 crore has been
allocated to SKIMS, along with the completion of a
200-bedded IPD facility at SKIMS Medical College,
Bemina. To enhance drug quality and safety, the
Modern Drug Testing Laboratory in Kathua will be
made operational. These initiatives reaffirm our
commitment to providing state-of-the-art healthcare
facilities and ensuring a healthier future for the people
of Jammu & Kashmir
72. To boost private investment in healthcare, our
Government will introduce the Health Care
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Investment Policy (HCIP) to enhance medical
infrastructure and services across Jammu and
Kashmir.
73. Non-Communicable Disease (NCD) screening will
be strengthened for early detection and treatment.
Under PM ABHIM, 13 Critical Care Blocks, 111
Block Public Health Units (BPHUs), and 10 District
Public Health Laboratories (DIPHL) will be
completed. Linear Accelerators (LiNAC) will be
installed at State Cancer Institutes in GMC, Jammu
and SKIMS, Srinagar to enhance cancer diagnosis
and treatment. Maternal health services in tertiary
care hospitals will be improved with better logistical
support, aiming to reduce maternal mortality and
ensure comprehensive care for expectant mothers.
74. Efforts are being directed at consolidating and
strengthening existing infrastructure, improving
service delivery, and equipping hospitals with
adequate manpower and advanced medical
technology to provide quality healthcare across
Jammu & Kashmir.
75. Combating the drug menace remains a top priority of
our Government. De-addiction infrastructure is in
place across all 20 districts and will be fully
operationalized. So far, 377 Panchayats have been
declared NashaMukt, with efforts underway to make
J&K drug-free. Awareness campaigns are being
conducted in villages, schools, and colleges. Strict
action, including the seizure of contraband and
property, will be taken against drug peddlers to
safeguard the youth from this threat.
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The Health and Medical Sector has been allocated
₹1,750.50 crore under capital expenditure for 2025-26,
reflecting an increase of ₹643.71 crore from the revised
allocation of 2024-25. This investment aims to
strengthen healthcare infrastructure, expand medical
education, enhance diagnostic facilities, and improve
accessibility to quality healthcare services across
Jammu and Kashmir.
Education
76. Our Government is committed to strengthening early
childhood education by developing 15,000 pre-
primary schools with an enrolment target of 1.80 lakh
children. To enhance research and quality education,
we are leveraging technology and digitization
through smart classrooms, Atal Tinkering Labs, and
digital resources. Additionally, 600 ICT Labs, 2,000
Smart Classrooms, and 500 Atal Tinkering Labs are
being set up to foster innovation and improve the
overall educational ecosystem.
77. Under the PM-SHRI Scheme, 396 schools in Jammu
& Kashmir have been approved for upgradation to
enhance educational infrastructure. To achieve
universal education, 46,000 out-of-school children
have been identified, enrolled, and mainstreamed.
Special emphasis is being given to girls’ education,
along with improving punctuality and discipline
among teaching staff.
J&K K-12: One Campus, One Future
78. To transform the education landscape in Jammu &
Kashmir, our government is launching an ambitious
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initiative to upgrade 40 government higher secondary
schools—one boys’ and one girls’ school per
district—into integrated K-12 institutions. By
rationalizing nearby primary and middle schools, we
will ensure seamless, uninterrupted education from
primary to higher secondary under a single
administration. This reform, which will be duly
aligned with the National Education Policy,will
enhance teacher specialization, optimize resource
utilization, and improve infrastructure, significantly
reducing dropout rates and strengthening school
governance.
79. This initiative, at a total cost of ₹180 crore, will be
piloted over a period of two years, with funding from
the State Education Budget, PM SHRI Schools
Scheme, and potential CSR and PPP partnerships.
Each school will receive upgraded classrooms, smart
learning facilities, advanced laboratories, vocational
training labs, and better sports and sanitation
infrastructure. A structured implementation plan will
begin with a pilot in 15 schools in the first year,
followed by phased expansion, ensuring efficient
execution and measurable impact.
80. To oversee this transformation, a Special Task Force
under the Education Department will be formed,
supported by district-level committees led by Deputy
Commissioners. Regular performance audits and
learning assessments will be conducted to track
progress. This initiative will serve as a model for
educational excellence, paving the way for state-wide
adoption of the K-12 system in government schools
and ensuring that every child in J&K receives quality,
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uninterrupted education in a well-equipped learning
environment. I propose an outlay of ₹50 crore in the
Budget for this initiative.
81. Our Government is committed to transforming
Jammu & Kashmir into an educational hub by fully
implementing the National Education Policy (NEP),
2020 and introducing four-year undergraduate
programs in all colleges. Infrastructure and services
in Degree Colleges will be enhanced. Additionally,
polytechnic colleges are being strengthened with 600
additional seats to expand technical education
opportunities.
82. Our Government will roll out a policy to attract
private investment in higher education. Efforts will
be made to encourage renowned private universities
to establish satellite campuses in J&K, creating large-
scale education and employment opportunities for the
youth.
J&K Board of Professional Entrance Examinations
83. To ensure transparent and efficient admissions, J&K
BoPEE is being streamlined with a Pan-India
schedule for seat allocation. An e-counseling module,
developed with NIC J&K, digitizes the process from
registration to allotment, ensuring fair, merit-based
admissions with real-time updates for applicants.
84. To bridge the gap between higher education and
industry, the government will facilitate
apprenticeships and internships through industry
collaborations. The Centre for Innovation and
Transformation in Governance (CITaG), launched at
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IIM, Jammu, will drive economic strategy, PPP
projects, and governance reforms, focusing on
tourism, employment, and revenue generation. I
propose an allocation of ₹5 crore to strengthen this
initiative.
85. Jammu University has achieved A++ status, and the
Islamic University of Science and Technology is
emerging as a leader in skill development and
innovation. The government will act as a facilitator to
create an industry-ready skilled workforce.
For the School and Higher Education Sectors, a capital
expenditure allocation of ₹1,388.97 crore has been
made for 2025-26, reflecting an increase of ₹242.75
crore over the revised allocation of 2024-25.
Sports
86. Jammu and Kashmir is poised to become a leading
sports hub with ongoing investments in infrastructure
and facilities. The establishment of 100 Khelo India
Centres, development of sports complexes, and
synthetic turfs in key stadia set the foundation for a
vibrant sports ecosystem.
87. To nurture talent, the government will continue its
efforts to train youth at Khelo India Centres, with an
emphasis on increasing women’s participation.
Additionally, J&K will enhance its standing as the
winter sports capital by hosting more winter games in
Gulmarg and promoting water sports through
dedicated academies. With continued focus on
infrastructure and athlete development, Jammu and
30
Kashmir is set to shape a thriving sports ecosystem
for future generations.
88. Our Government is committed to transforming
Jammu & Kashmir into a hub of sporting excellence
by creating world-class infrastructure and
opportunities for athletes. Our Government will be
establishing National Centres of Excellence for
Water Sports at Dal Lake in Srinagar and Basohli in
Jammu, providing state-of-the-art training facilities
for water sports enthusiasts. A Gymnastics Academy
will be set up at Gindun Rajbagh and Khel Gaon,
Nagrota, ensuring specialized coaching for budding
gymnasts. To nurture young cricketing talent, four
state-of-the-art Cricket Academies will be established
with a budgetary allocation of ₹8 crore. Additionally,
two new Youth Hostels—one each in Jammu and
Kashmir divisions—will be constructed with a
provision of ₹10 crore. High-Performance Training
Centers will be developed in all districts in a phased
manner to enhance athlete training and performance
at the grassroot level. To promote mass participation,
we aim to engage 75 lakh youth in sports activities
across Jammu & Kashmir, fostering a culture of
fitness and excellence.
89. To further promote sports and tourism, we will host
important national and international sporting events
in Jammu & Kashmir. Football exchange programs
will be conducted to provide local players with
exposure to global best practices. Special focus will
be given to empowering coaches through capacity-
building initiatives such as the Football Development
Program and World Coach Programs.
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90. In our endeavor to make quality sports infrastructure
accessible, we are developing 247 playfields,
stadiums, and sports courts across the region, along
with the construction and upgradation of 19 sports
buildings. To equip our stadiums with modern
amenities, we are also procuring advanced sports
equipment and generators.
91. To further support our sportspersons, we will ensure
that travel costs, accommodation, and training
opportunities are addressed, enabling athletes to
compete at national and international levels without
financial constraints. Coaches will receive
specialized training to enhance their capabilities, and
financial support for athletes will be increased to
ensure equal opportunities for all. Our vision is to
make sports an integral part of community
development, ensuring participation from all sections
of society. Two new swimming pools will be
commissioned in both capital cities, further
expanding training facilities. Additionally, dedicated
sports facilities will be created for migrant
populations to ensure inclusivity. Special emphasis
will be placed on involving the rural and tribal
population in games, fostering a culture of sports at
the grassroots level. Through these comprehensive
initiatives, we aim to nurture talent, promote fitness,
and position Jammu & Kashmir as a premier sporting
destination in the country
For the Sports Sector, a capital expenditure allocation
of ₹152.69 crore has been made for 2025-26, an
increase of ₹36.91 crore from the revised allocation of
2024-25.
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Employment
92. We recognize the problem of unemployment as one
of the pressing challenges facing J&K. Addressing
this is one of the foremost priorities for the
government. The slow pace of recruitment by JKPSC
and SSB is being expedited. The process for
compassionate appointments has also been expedited,
with 1,116 cases approved under SRO-43 and 150
under review. Vacant positions for referral to the
recruitment agencies are being identified. Of the
10,616 positions referred to JKPSC and JKSSB,
notifications for 7,376 have been issued, and exams
for 6,090 have been conducted. The Government will
fast-track both the referrals as well as the recruitments
for vacant posts.
93. Mission Youth’s initiatives like Mumkin, Tejaswani,
and Spurring Entrepreneur,will be used for
empowering youth and women entrepreneurs. In the
next financial year, Mission YUVA will be launched,
aiming to create 1,37,000 enterprises and 4,25,000
jobs over five years, making Jammu and Kashmir a
hub for entrepreneurship and employment. Mission
YUVA will also drive skill development with training
for 1,080 candidates and organize job fairs in Jammu
and Srinagar, connecting job seekers with employers.
94. The initiative will focus on first-generation
entrepreneurs, women, and youth from remote areas,
supporting MSMEs, startups, and scaling existing
businesses. It will offer credit support, subsidies, and
access to platforms like ONDC. A dedicated digital
33
platform will provide AI-based planning, training,
and progress tracking.
95. To enhance worker welfare in the unorganized sector,
over 34 lakh laborers have been registered on the e-
Shram portal. A 24×7 helpline, “SHRAM MITRA,”
will be set up in Jammu and Srinagar for worker
grievances. Existing labor laws will be amended to
align with Ease of Doing Business guidelines,
including updates to the J&K Shops and
Establishments Act, 1966. Additionally, eligible e-
Shram workers will benefit from the Ayushman
Bharat Scheme, and night shelters will be developed
for migrant workers in remote areas.
96. The J&K Building & Other Construction Workers
Welfare Board is enhancing worker welfare through
educational aid, smart cards for secure data tracking,
and a transparent online cess collection portal. New
training institutions with residential facilities will be
established, and workers will benefit from insurance
schemes like PMJJBY and A-PMJAY.
97. These initiatives will create a self-reliant ecosystem
by empowering individuals with skills, expanding job
opportunities, and strengthening welfare across
Jammu and Kashmir. The Government is also
exploring solutions for casual, seasonal, and
temporary workers to ensure that they too have access
to a good quality of life.
98. To support structured skill development, 1 lakh youth
will be trained over five years under PMKVY 4.0,
PM Vishwakarma, and other schemes. The Udaan
Scheme will be revived to provide youth with job
34
opportunities. 83 trade units have transitioned to
NCVT, benefiting 1,800 more students with globally
recognized National Trade Certificates.
99. Further, the Food Craft Institute in Jammu will be
upgraded to an Institute of Hotel Management, and
3,000 women in Self-Help Groups will be upskilled
to improve their financial stability. 12 new-age
courses in IoT, smart healthcare, solar electricians,
and EV mechanics will be introduced to enhance
employability.
100. To empower the youth of Jammu & Kashmir with
industry-relevant skills and entrepreneurial
opportunities, our Government proposes the
establishment of the Jammu & Kashmir Skill and
Entrepreneurship University (J&K SEU). This
institution will provide cutting-edge training in
technology, healthcare, tourism, renewable energy,
and traditional crafts while fostering innovation,
startup incubation, and industry partnerships. By
bridging the gap between education and
employment, J&K SEU will reduce unemployment,
create a skilled workforce, and nurture job creators.
A special focus will be given to marginalized
communities, ensuring inclusive growth. Our
Government is working out the modalities for the
implementation of this ambitious initiative.
For labour, Employment and Skill Development an
allocation of about Rs 379.14 crore has been made
under capital expenditure for the year 2025-26 which
is Rs 269.00 crore more than revised allocation of
2024-25.
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EXPANDING SOCIAL AND FINANCIAL
INCLUSION
Ensuring Food Security
101. Our Government is committed to strengthening
food security through a robust and efficient Public
Distribution System (PDS). Smart PDS will be
implemented in 2025-26 to enhance service
delivery, prevent leakages, and ensure fair and
transparent distribution of essential commodities
across Jammu & Kashmir. As an additional measure
of social security, I propose free ration of 10 kg
per person to all AAY beneficiaries starting
April 1, 2025, ensuring enhanced nutritional
support for the most vulnerable. To further
improve accessibility and streamline distribution,
the Government will assess and upgrade fair price
shops, reinforcing our commitment to an efficient
and inclusive food security system.
Tribal Welfare & Empowerment
102. Our Government is dedicated to the welfare and
empowerment of our tribal communities, who have
long faced socio-economic challenges. To improve
their quality of life, we are constructing 25 new
hostels, along with 8 new hostel buildings, 285
smart schools, and 6 Eklavya Model Residential
Schools (EMRS). Additionally, 2,000 tribal youth
will benefit from livelihood generation, skill
development, and professional coaching, while
46,000 students will receive scholarships.
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103. In the 2025-26 fiscal year, we will establish 100
Smart Schools and 11 new Eklavya Model
Residential Schools (EMRS), alongside 26 new
ST/G&B hostels. We are modernizing 10 existing
hostels, and 5 hostels will be completed soon.
104. Through the Dharti Aaba Janjatiya Gram Utkarsh
Abhiyan, 393 villages will undergo comprehensive
development, focusing on infrastructure,
healthcare, education, and livelihoods. For nomadic
communities, we will provide 200 Sheep units and
develop 10 Milk Villages in the coming year. These
initiatives will ensure greater inclusion and
empowerment for our tribal communities.
105. Our Government is committed to ensuring safety
and support for women through Sakhi Niwas and
Shakti Sadan initiatives. To provide secure
accommodation for working women and those
pursuing education or training, five new Sakhi
Niwas will be established in Srinagar, Anantnag,
Baramulla, Kathua, and Rajouri, expanding the
initiative beyond the operational facility in Roop
Nagar, Jammu.
106. For women in distress, including victims of
trafficking, 11 new Shakti Sadans will be set up in
Anantnag, Bandipora, Budgam, Doda, Jammu,
Kathua, Pulwama, Reasi, Ramban, Poonch, and
Srinagar, adding to the existing centers in Jammu
and Kupwara. These facilities will provide shelter,
care, and rehabilitation services to help women
reintegrate into society.
37
107. Our Government is committed to enhancing support
systems for vulnerable children and individuals in
need. In 2025-26, a Halfway Home for mentally
cured individuals will be completed to provide
sheltr, rehabilitation, and reintegration support.
108. To strengthen Early Childhood Care and Education
(ECCE), 547 Anganwadi Centers will be upgraded
into Saksham Anganwadi Centers and Bal
Vidyalayas, creating a stimulating learning
environment for young children. Additionally, three
Palash buildings in Samba, Ramban, and Poonch
will be completed, offering shelter and educational
support for boys, and a new Vatsalya Sadan will be
constructed in Budgam.
Strengthening Social Security through Pension
Enhancement
109. Our Government remains committed to providing
financial assistance to the most vulnerable sections
of society through the Integrated Social Assistance
Scheme (ISSS) and the National Social Assistance
Programme (NSAP). These critical social security
initiatives support old-aged persons, widows,
divorcees, and specially abled individuals who lack
financial stability. I propose an enhancement in
pension amounts, benefiting 10,07,324
individuals across Jammu & Kashmir.
₹1,250 per month for persons below 60 years of age
₹1,500 per month for persons aged between 60 and
below 80 years
₹2,000 per month for persons aged 80 years and above.
38
110. The revision has been long overdue, as the existing
pension amount of ₹1,000, fixed in 2016, has been
eroded by inflation and rising costs of essential
goods, healthcare, and daily necessities. This
enhancement will increase the total pension outlay
from ₹1,209 crore to ₹1,755 crore per annum,
ensuring greater financial security and dignity for
those in need.
Women Empowerment
111. Our Government is committed to strengthening
financial security and social support for women.
The coverage of the Ladli Beti scheme has
expanded significantly from 16,095 beneficiaries in
2017 to 1,61,552 in 2023-24, with financial
assistance increasing from ₹24 crore to ₹847 crore
during this period.
Free Public Transport for Women: A Step Towards
Empowerment
112. On the eve of International Women’s Day, our
Government is proud to announce a transformative
initiative to empower women and promote
economic inclusion. I propose – Starting 1st April
2025, all women in Jammu & Kashmir will be
granted free ridership on government-owned
public transport, including eBuses. This initiative
will ease financial burdens, enhance access to
education and employment, and ensure safer, more
affordable travel. By removing transport costs, we
aim to increase women’s mobility, boost workforce
participation, and foster greater independence. I
urge this august House to support this progressive
39
step towards a safer, more inclusive, and
economically empowered Jammu & Kashmir.
113. To further support women from economically
weaker sections, I propose an enhancement of
financial assistance under the Marriage
Assistance Scheme from ₹50,000 to ₹75,000 for
AAY category girls. This increase aims to provide
greater financial relief to underprivileged families.
Moving forward, we will streamline the scheme’s
implementation and ensure adequate budget
allocation to broaden its reach and impact.
114. Our Government is committed to women’s
empowerment through self-reliance and
entrepreneurship. With over 7 lakh women in
90,000 SHGs and 3 lakh women farmers trained,
rural livelihoods have been significantly
strengthened. Nearly 2 lakh agriculture nutrition
gardens now enhance household nutrition security.
Under the ‘Lakhpati Didi’ scheme, we will support
40,000 women in launching micro-startups,
ensuring a sustainable annual income of ₹1 lakh,
and further advancing economic independence
across Jammu & Kashmir.
Disaster Management
115. The 2014 floods highlighted the need for proactive
disaster mitigation. To enhance resilience, our
Government is establishing a ₹39 crore Disaster
Mitigation Fund, the first dedicated fund for
prevention, early warning systems, and
preparedness. By investing in tools, manpower, and
40
infrastructure, we aim to reduce risks and safeguard
lives and property across Jammu & Kashmir.
116. Recognizing the rising threats of Glacial Lake
Outburst Floods (GLOFs) and landslides, our
Government is taking proactive measures to protect
vulnerable communities and infrastructure. I
propose a ₹15 crore allocation for GLOF risk
monitoring, early warning systems, and mitigation
strategies. Additionally, under the National
Landslide Risk Mitigation Program (NLRMP), ₹15
crore is earmarked for risk assessment, monitoring,
and engineering solutions to stabilize landslide-
prone areas. These initiatives will enhance disaster
preparedness and build a climate-resilient Jammu &
Kashmir.
ACCELERATING INFRASTRUCTURE DEVELOPMENT
PMDP
117. Our Government expresses heartfelt gratitude to the
Hon’ble Prime Minister and the Government of
India for their unwavering support through the
Prime Minister’s Development Package (PMDP-
2015). This transformative initiative has
strengthened infrastructure and boosted economic
growth in Jammu & Kashmir. Out of the ₹58,466
crore allocated for 53 projects, ₹51,813 crore has
been utilized, achieving a 97.04% utilization rate,
with 39 projects completed or substantially
completed. We remain committed to ensuring the
timely completion of the remaining projects,
reinforcing our vision for a stronger, self-reliant
Jammu & Kashmir.
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Power
118. The power sector is a top priority for our
Government, as it is the backbone of a thriving
economy. Our vision is twofold: first, to make J&K
an energy hub, achieving self-sufficiency and
becoming a net power exporter by harnessing its
vast hydro potential; and second, to ensure 24×7
reliable and affordable electricity for all households
by 2027-28. To achieve this, we are implementing
a well-coordinated plan covering all key aspects of
the power supply chain.
119. Jammu & Kashmir has a hydro potential of 20,000
MW, but only 3,400 MW has been harnessed. To
fast-track development, Pakal Dul, Kiru, Kwar, and
Ratle will add 3,000+ MW by 2027. New projects
like Kirthai-I, Dulhasti-II, Bursar, Sawalkote, Uri-I
Stage-II, Ujh, and Kirthai-II will add 4,500 MW
within a decade, ensuring energy self-sufficiency
and making J&K a power exporter. To unlock
J&K’s full hydropower potential, my government
will introduce a new Hydropower Policy to
accelerate development, attract private investment,
and drive sustainable energy growth.
120. To enhance the power distribution infrastructure
and ensure a reliable, efficient, and financially
sustainable power supply, the Government of India
has sanctioned ₹5,620 crore (₹2,807.70 crore for
Jammu and ₹2,834.21 crore for Kashmir) under the
Revamped Distribution Sector Scheme (RDSS) for
Jammu and Kashmir. Under this scheme, J&K has
submitted an ambitious investment plan of ₹12,922
42
crore, focusing on smart metering, loss reduction,
and modernisation of the distribution network in
both rural and urban areas. Phase-I of the scheme,
currently under execution, includes the installation
of 11,500 HVDS transformers, conversion of
23,000 km of LT bare conductors to AB cables,
bifurcation of 2,750 km of feeders, replacement of
8,000 transformers, and the installation of 14 lakh
smart meters. Additionally, IT/OT system
integration, Unified Billing Systems (UBS), and
Enterprise Resource Programme (ERP) are being
implemented to enhance operational efficiency.
Notably, over 40% progress has already been
achieved in loss reduction works, and the projects
are on track for completion by 2026, with more than
40,000 smart meters installed so far.
121. Looking ahead, the modernization component
under RDSS will introduce advanced distribution
system automation, construction of new 33/11 kV
substations, renovation of existing infrastructure,
and deployment of smart grid projects,
SCADA/DMS, RT-DAS, GIS and infrastructure for
EV charging. A special emphasis has been placed
on enhancing the aesthetic appeal of Jammu and
Srinagar by converting overhead electrical
networks into underground cabling along major
roads. These initiatives under RDSS mark a
transformative step toward a modern, resilient, and
sustainable power sector, ensuring quality,
affordability, and uninterrupted electricity for all
consumers across Jammu & Kashmir.
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122. Aligned with our vision for energy independence,
we are prioritizing renewable energy. With J&K’s
strong solar potential, we are promoting rooftop
solar installations under the PM Surya Ghar Muft
Bijli Yojana. Solarization of 22,494 government
buildings with the total capacity of 314 MW to be
completed by December 2025. To accelerate
adoption, J&K will offer additional subsidies,
lowering consumer power costs and ensuring long-
term financial stability for DISCOMs. 5,000 solar
agriculture pumps shall be installed under PM-
KUSUM Yojana.7 New Small solar Projects with
an aggregate capacity of 32.25 MW to be completed
this year.
123. One of the key challenges we face is the gap
between the cost of power supply and revenue
collection. While the average cost per unit is ₹7, we
recover only ₹2.5 due to systemic inefficiencies,
high losses, and low tariffs. To bridge this gap, our
Government is implementing 100% smart metering,
strengthening billing and collection mechanisms,
and modernizing the entire distribution network.
These measures will enhance efficiency, reduce
commercial losses, and improve revenue
realization. Our goal is to bring down Aggregate
Technical and Commercial (AT&C) losses from
41% to 25% by 2025-26, ensuring a financially
sustainable power sector.
124. To provide financial relief and energy security to
the most vulnerable, I propose to provide 200 units
of free electricity per month to all Antyodaya
families in Jammu & Kashmir. Integrated with
44
the PM Suryaghar Bijli Yojana, this initiative will
enable the installation of grid-connected solar
systems, generating the required power and
eliminating electricity bills. With an investment of
₹750 crore spread over five years, this step will also
reduce AT&C losses and promote sustainable
energy. I urge this august House to support this
transformative move towards a greener, more
inclusive, and self-reliant Jammu & Kashmir.
125. I propose to institute the Chief Minister’s
Awards to recognize and reward exemplary
efforts by field functionaries in reducing
Aggregate Technical & Commercial (AT&C)
losses and conducting energy audits. This
initiative aims to foster a culture of efficiency,
accountability, and innovation in the power sector,
ultimately contributing to a more sustainable and
resilient energy ecosystem.
126. Our government remains committed to ensuring a
smooth and secure Amarnath Yatra, building on the
successes of previous years. With seamless
coordination between various government agencies
and stakeholders, we will enhance pilgrim facilities,
improve safety measures, and ensure the efficient
conduct of this sacred journey. Recognizing the
Yatra’s significant economic impact on the region,
we are dedicated to supporting local businesses,
boosting tourism, and creating livelihood
opportunities while upholding the spiritual and
cultural essence of this revered pilgrimage.
127. The safety and well-being of our power sector
workforce are paramount. Our Government will
45
build dedicated Linemen Huts and essential
facilities to support thousands of linemen and
field staff who work tirelessly—often risking their
lives—in extreme conditions. We will also
prioritize capacity building and enhanced
insurance coverage to ensure their safety and well-
being as they perform critical power sector duties.
Additionally, a fully equipped Power Training
Institute will be established to provide
continuous skill development and professional
growth.
For Power Sector an allocation of about Rs
2021.37crore has been made under capital expenditure
for the year 2025-26 which is Rs 762.80 crore more than
the revised allocation of 2024-25.
Physical Connectivity
128. The Government has made significant strides in
expanding physical connectivity, with a focus on
improving road access to rural areas. Under the
Prime Minister’s Gram Sadak Yojana (PMGSY), all
rural settlements with a population of 250+ as per
the 2001 census have been connected. Over the past
four years, 7,886 km of roads have been
constructed, and through accelerated execution and
close monitoring, the road construction speed has
doubled. This has greatly improved connectivity to
remote villages and reduced travel time across all
districts.
129. In 2025-26, our Government plans to blacktop
4,000 km of roads across various sectors, including
PMGSY, Cities & Towns Scheme, CRIF,
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NABARD, and RIDF. Additionally, 150 road and
bridge projects will be undertaken under NABARD,
with 60 ongoing bridges targeted for completion.
Furthermore, under PMGSY-IV, approximately
150 road and bridge projects, covering an estimated
length of 750 km, will be executed during this
period. These initiatives will further enhance
connectivity and infrastructure across Jammu &
Kashmir. I am confident that within the next two to
three years, all unconnected habitations with a
population of more than 250, as per the 2011
census, will be provided with road connectivity.
130. Work is underway on key national highways,
including the Jammu-Akhnoor-Poonch, Srinagar-
Baramulla-Uri, and Chenani-Sudhmahadev-
Khellani-Kishtwar-Khanabal National Highways.
The completion of the Banihal bypass on the
Srinagar-Jammu NH has reduced travel time by half
an hour. The Delhi-Amritsar-Katra Expressway is
under construction, which will cut the travel time
between Delhi and Katra to just six hours. The
Srinagar and Jammu Ring Roads are in advanced
stages, and the Z-Morh tunnel has been completed,
with the Zojila tunnel also under progress.
Development work has started on the Baramulla-
Kupwara-Trehgam, Baramulla-Uri, Pattan Bypass,
and Baramulla Bypass, while eight tunnel projects
are in advanced stages, including the Sudhmahadev
Dranga and Singhpora Vailoo tunnels.
131. The work on the semi-ring road for Jammu (58 km)
is nearing completion, while the four-laning of the
semi-ring road for Srinagar has achieved 60%
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physical progress. Tunnel work on the semi-ring
road in Jammu is also underway. Both ring roads
are expected to be commissioned by October 2025.
132. The completion of the final segment of the
Udhampur-Srinagar-Baramulla Rail Link (USBRL)
marks a significant milestone in enhancing
connectivity and development in Jammu and
Kashmir. This crucial project will strengthen
integration with the rest of the country, boost
economic growth, and facilitate faster, more
efficient transportation. As we prepare for its full
operationalization, we must ensure seamless
logistics, robust infrastructure, and adequate
facilities to maximize its impact on regional
progress and connectivity.
For the Road and Bridges Sector, an allocation of about
Rs 4062.93 crore has been made under capital
expenditure for the year 2025-26, which is Rs 439.28
crore more than the revised allocation of 2024-25.This
enhanced investment will support infrastructure
development, improve connectivity, and facilitate
economic growth across Jammu & Kashmir.
Irrigation and Water Supply
133. Our Government is committed to improving
irrigation and water supply infrastructure. The Tawi
Barrage project, aimed at creating an artificial lake
with a 1.41 MCM pondage to boost tourism in
Jammu, is progressing rapidly and will be
completed during the financial year. Additionally,
the Shahpur Kandi Dam project, which will provide
1,150 cusecs of water from the river Ravi, is
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advancing well. Upon completion, it will ensure
assured irrigation for 32,173 hectares in Kathua and
Samba, benefiting local agriculture and enhancing
water security. Our Government shall also
undertake completion of 143 Irrigation & Flood
Control schemes under PMKSY-HKKP with an
estimated amount of Rs 611.12 crore.
134. Our Government is committed to ensuring clean
and safe drinking water for every household in
Jammu and Kashmir through the Jal Jeevan
Mission. A majority of households have already
been connected, and efforts are underway to
complete the remaining connections within the
mission period. We are focusing on the completion
of 1,544 ongoing Water Supply Schemes,
improving quality, enhancing last-mile
connectivity, strengthening distribution networks,
and ensuring sustainable water sources to prevent
supply disruptions. This is the last year of JJM
scheme, 3,266 JJM schemes shall be handed over to
Pani Samities for operation and maintenance. In
addition, water supply schemes of both AIIMS
Awantipora and Vijaypur shall be completed; Our
Government also proposes strengthening and
accreditation of 98 Water Testing Labs this
year.Through these efforts, we aim to provide
reliable and uninterrupted access to drinking water
for all.
135. Under the Flood Management and Border Area
Programme (FMBAP), 10 flood protection projects
and 20 irrigation projects under PMKSY are set to
be completed this year. The Lar canal in Ganderbal
49
will be upgraded to enhance irrigation efficiency
and improve water resource management.
Additionally, 143 schemes will be completed under
the PMKSY-HKKP scheme, along with 20 water
supply schemes and 11 irrigation schemes under
NABARD, strengthening water security and
irrigation facilities. The construction of entry and
exit gates for the Hokersar wetland is also nearing
completion.
For Irrigation and Water Supply Sector an allocation
of about Rs 2662.71crore has been made under capital
expenditure for the year 2025-26 which is Rs 817.87
crore more than revised allocation of 2024-25.
Urban Development and Housing
136. Under the Smart City Mission, 309 urban
infrastructure projects are underway in Jammu and
Srinagar, including 20 PPP projects worth ₹666
crore and 55 convergence projects worth ₹3,475
crore. Key initiatives include Srinagar Square, Lal
Chowk, Jhelum riverfront, Polo View, and major
road improvements, with 29 projects set for
completion this year.
137. Under the Green Urban Transport initiative, 200 e-
buses under the Smart City mission are operational
on designated inter/intra-city routes, with an
additional 200 e-buses approved under the PM e-
Bus Sewa program set to be introduced soon.
Furthermore, environmentally friendly e-rickshaws,
e-autos, and public bicycles shall be further
promoted in both capital cities.
50
138. The Real Estate Regulatory Authority (RERA) has
been made functional to regulate the real estate
sector and safeguard consumer interests. To
promote organized housing development, land has
been allocated for mass housing projects, including
Shahjar Heights and the Satellite Township at
Rakh-Gund Aksha. Additionally, residential
colonies for EWS beneficiaries are being developed
in Birpur (Samba), Padgampura (Pulwama),
Chatterhama (Ganderbal), Bhalwal, Roop Nagar,
and Chowadhi (Jammu), alongside integrated mass
housing colonies at Watapora (Bandipora) and a
satellite township at Rakh-Gund Aksha. Under
PMAY, housing units for EWS, LIG, and MIG
families are being completed. Our Government
remains committed to ensuring the timely execution
of these projects and continuing the development of
these colonies in the future.
139. Under AMRUT significant infrastructure
improvements have been made, including 74 km of
sewer lines, 13,000 sewerage connections, 6 km of
pedestrian walkways, 104 km of stormwater drains,
and the development of green spaces. In AMRUT
2.0, 49 water supply schemes, including major
projects in Sopore and Kathua, will be undertaken,
with GIS-based master planning also set to improve
urban planning in municipal councils and the twin
cities of Srinagar and Jammu.
140. Solid waste management has been enhanced in 33
Urban Local Bodies, with further plans to establish
Solid Waste Management Centers in all 78 urban
bodies. Projects for bio-remediation of waste in Kot
51
Bhalwal, Jammu, and Achan, Srinagar, are
underway to address hazardous waste
accumulation. Additionally, a waste disposal policy
will be introduced to mitigate the environmental
and health impacts of improper waste disposal. Bio-
remediation systems will provide sustainable, long-
term solutions with minimal energy input. Our
Government will continue to take these initiatives
forward to ensure a cleaner and healthier
environment for the people. Our Government will
continue to focus on urban development through
these initiatives.
Exemption of Stamp Duty for transfer of Property by
way of gifts within blood relations.
141. To promote ease of transactions and reduce legal
disputes over property transfers, I propose a reform
in the stamp duty structure for gift transactions
among blood relatives. Currently, the stamp duty
for such transactions varies from 3% to 7%, which
discourages formal registration. To address this,
I propose reducing the stamp duty on property
gifted to blood relatives to zero, benefiting
families by encouraging legal documentation and
reducing inheritance disputes. This initiative will
provide financial relief, ensure transparency, and
streamline property transfers in Jammu and
Kashmir.
For Housing and Urban Development Sector an
allocation of about Rs 2761.74 crore has been made
under capital expenditure for the year 2025-26 which
52
is Rs 823.53 crore more than revised allocation of
2024-25.
Law & Parliamentary Affairs
142. Our Government is committed to constructing a
state-of-the-art Legislative Complex in Jammu to
replace the century-old facility at the Civil
Secretariat. With an estimated cost of ₹208 crore,
₹72 crore has already been utilized. I propose an
allocation of ₹50 crore in this budget for its timely
completion, creating a modern, technology-driven
environment for efficient and transparent
lawmaking.
143. Our Government is committed to establishing a
National Law University (NLU) in Jammu &
Kashmir to drive legal education reforms and
research. With world-class training aligned to
contemporary standards, the NLU will empower
future legal professionals and enhance justice
delivery. I propose a provision of ₹50 crore in the
budget for this transformative initiative.
144. Our Government is committed to ensuring efficient
and accessible justice delivery through the
development of state-of-the-art judicial
infrastructure across Jammu & Kashmir. We are
constructing new court buildings, residential
complexes for judicial officers, and chambers for
advocates while also renovating existing
facilities.These efforts reflect our commitment to
strengthening the justice system and ensuring legal
accessibility for all.I propose an allocation of ₹125
crore in the Budget to meet this requirement.
53
Information Technology & Governance
145. Our Government is committed to a Digital Jammu
& Kashmir, enhancing efficiency, transparency, and
service delivery. The number of online public
services has increased from 60 to 1,166, with
integrations like Mobile Dost, Digilocker, and
Payment Gateway. We are adopting an outcome-
based digital strategy, focusing on principles like
‘Line to Online,’ ‘Queue to QR,’ and ‘Cashless &
Presence-less Services,’ ensuring accessible and
citizen-centric governance.
146. Our Government is enhancing IT infrastructure and
digital governance through an e-Governance Centre
of Excellence, fostering innovation in agriculture,
health, AI, cybersecurity, and cloud computing.
Internship and skill development programs will
equip youth with practical IT experience. We will
modernize government offices, expand the State
Data Center, and boost connectivity via Bharat Net
and JKSWAN. Initiatives like Wi-Fi hubs, Digital
Village Centers, hospital automation, citizen
services through IVRS, and Network & Security
Operations Centers will improve efficiency,
transparency, and service delivery across Jammu &
Kashmir.
Air Connectivity
147. The ₹861.37 crore expansion of Jammu Airport and
the ₹1,667 crore expansion of Srinagar Airport are
pivotal to enhancing air connectivity in the region.
Jammu’s expansion, including a new Civil Enclave
on 900+ Kanals, will increase capacity and
54
infrastructure, to be completed by June 2026.
Srinagar’s expansion, with an integrated terminal
and apron extension, will boost peak-hour capacity
to 2,900 and annual capacity to 10 million,
transforming it into a world-class hub, driving
tourism, trade, and economic growth.
148. Our Government is expanding the Subsidized
Helicopter Service Scheme, with the Jammu-
Mendhar-Jammu route recently approved and more
routes planned. To strengthen connectivity, six new
helipads in Bandipora and one in Kupwara are
operational, with additional helipads to be built over
the next two years, for which I propose an allocation
of Rs 10 crore in this Budget. Under RCS-UDAN,
the Kishtwar Airstrip will be developed, boosting
regional connectivity and economic growth.
Hospitality &Protocol; Estates
149. Post-apportionment of our assets with Ladakh, and
recognizing the need for additional and better
facilities, our Government has prioritized the
development of modern, self-sustaining
accommodation/ Bhawans for the visiting patients,
students, people, and officers from Jammu &
Kashmir in Delhi, Mumbai, Chandigarh, and
Amritsar. I propose a provision of ₹50 crore in the
budget.
150. Our Government is committed to improving
residential facilities for our employees, recognizing
their vital role in governance. With about 4,500
existing residential units in Jammu and Srinagar, we
aim to meet the growing demand by expanding
55
infrastructure. In the current fiscal year, nearly 300
new 2BHK and 3BHK units will be added, with 216
in Srinagar and the rest in Jammu. I propose ₹38
crore for their completion in this Budget.
151. Additionally, a new project for twin towers with 64
modern 4-BHK and 3-BHK units at Canal Road,
Jammu, will address accommodation shortages at
higher levels, with an estimated cost of ₹63 crore. I
propose ₹20 crore for this project in the Budget.
152. Furthermore, we plan to monetize high-potential
assets and redevelop outdated accommodations
with a token provision of ₹10 crore in this Budget.
To support newly created departments, we will
expand Civil Secretariat complexes by creating
additional Blocks. I propose allocating ₹20 crore for
this initiative.
153. A free, independent, and responsible press is the
cornerstone of a vibrant democracy. Our
Government is unwavering in its commitment to
upholding press freedom and ensuring that
journalists operate in a secure and transparent
environment. The media plays a vital role in
shaping public opinion, strengthening democratic
institutions, and keeping citizens informed. In this
spirit, we are committed to strengthening press
infrastructure, facilitating greater access to
information, and protecting the rights of journalists.
We will take concrete steps to revive and support
the Press Club in Jammu & Srinagar, providing a
dedicated space for journalists to engage,
56
collaborate, and contribute meaningfully to public
discourse.
154. SUPPLEMENTARY GRANT FOR THE
CURRENT FINANCIAL YEAR 2024-25
a) The original grant for the financial year 2024-25
was ₹1,51,526 crore (Gross) and ₹1,18, 390 crore
(Net of WMA of ₹33,136 crore). During the course
of year from 1st April, 2024 to 31st March, 2025 an
amount of ₹6242.34 crore shall be withdrawn in
excess of grant in respect of Demand No.
01–General Administration Department,
02 – Home, 08 – Finance Department, 10- Law
Department, 12- Agriculture Production
Department, 18- Social Welfare Department,
19 – Housing and Urban Development,
24-Hospitality and Protocol Department,
29- Transport Department, 30 – Tribal Affairs,
32- Horticulture Department, 33-Disaster
Management, Relief, Rehabilitation and
Reconstruction Department and 36 – Cooperative
Department out of the Consolidated Fund of Union
Territory of Jammu and Kashmir to defray expenses
on services and purposes required during the period.
This had been largely necessitated due to expenses
related to Pension, Land purchase at Dwarka, New
Delhi, stipend and scholarship in Social Welfare
schemes and Grants under Agriculture Department.
155. REVENUE PROPOSALS FOR 2025-26
a) My Government is dedicated to expanding social
security for the most vulnerable sections of society
57
while enhancing J&K’s competitiveness in the
national economy through grassroots-level reforms.
This Budget not only strengthens welfare measures
but also drives transformative programs to
accelerate infrastructure development, productivity,
and economic growth, ensuring a more prosperous
and inclusive Jammu & Kashmir.
b) We need to ensure that this is done in a fiscally
prudent manner. We need to explore every avenue
for upscaling revenue generation while enhancing
social protection for the poor. We need to ensure
cost savings through austerity measures and
efficiency measures. We must also improve the
impact of public expenditure by leveraging scale,
competition and private initiative. In this direction,
we will undertake rationalization of tax on fossil
fuels. While fossil fuels are presently essential to
our development, the encouragement to their
consumption needs to be gradually reduced to
encourage shift towards use of cleaner technologies.
The prices of these fossil fuels are lower in Jammu
& Kashmir than neighbouring States, like Punjab,
Haryana, Himachal Pradesh, and Delhi. Hence it is
proposed to reduce rebate on Petrol by ₹1 per litre
and on HSD by ₹2 per litre and increase tax rate on
aviation turbine fuel to 5%.
c) We are losing tax revenue due to purchases of new
and used vehicles from outside Jammu & Kashmir.
But these vehicles use the public road and parking
infrastructure in Jammu & Kashmir. Such
purchases from outside Jammu & Kashmir not only
cause revenue loss but also deprive local dealers of
58
business. Hence for all fresh non-transport vehicles
having an authorized dealership/ sale point in
Jammu &Kashmir but purchased from outside
Jammu & Kashmir shall be levied 12% road / token
tax. Thus, there will be a 3% green cess over and
above the existing tax rate on such vehicles.
d) To augment revenues, our Government is
committed to exploring the introduction or
enhancement of various taxes, tariffs, fees, and
royalties, as appropriate. This approach will ensure
sustainable fiscal growth while balancing economic
development and public welfare. The Grant to
autonomous bodies including universities, shall be
linked to their enrollment, R&D work, consultancy
work and revenue realization.
156. BUDGET FOR 2025-26
i. The total gross receipts are estimated at
₹1,40,309.99 crore, including the provision for
ways and means advances and over-draft of ₹28000
crore. Given these receipts, the total gross
expenditure is estimated to be ₹1,40,309.99 crore.
ii. The total net budget estimates for the fiscal year
2025-26 are ₹1,12,310 crore, excluding the
provision for ways and means advances and
overdraft. The expected revenue receipts are
₹97,982 crore and capital receipts are ₹14328 crore.
Similarly, the revenue expenditure is estimated to be
₹79703 crore and capital expenditure to be ₹32607
crore.
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iii. The own revenues both tax and non-tax are
estimated to be ₹31905 crore. In addition to this,
₹41000 crore is to flow as central assistance and
₹13522 crore as CSS/ PMDP to the Union Territory
of Jammu and Kashmir.
157. FISCAL INDICATORS
i. The tax/GDP ratio is projected at 7.5% for 2025-26.
ii. Fiscal deficit for the year 2025-26 is estimated to be
3.0 %. This is substantially lower than 5.5% in
2024-25 (RE). The details are placed before the
august House through the FRBM document.
iii. GDP for the year 2025-26 has been projected at
₹ 2,88,422 crore, which shows a growth of 9.5 %
over the previous year.
Hon’ble Speaker Sir, with these words, I commend the
Budget for the financial year 2025-26 of the Union
Territory of Jammu and Kashmir to this august House for
consideration.
Jai Hind !

Budget Speech 2025-26 (English)

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