Govt spending at minimum, businesses collapsing, entrepreneurs going bankrupt, even legislators’ CDF not being released, says Naeem Akhtar
Srinagar: Senior Peoples Democratic Party (PDP) leader and former minister Naeem Akhtar Saturday issued a scathing statement describing an “unprecedented economic collapse” unfolding in Jammu and Kashmir.
Akhtar warned that the situation is a “frightening reflection” of the current government’s failure, even before it has completed a full year in office.
Akhtar in a statement issued to the news agency—Kashmir News Observer (KNO), said the government has drastically curtailed public spending, pushing large sections of society to the brink. “Government infrastructure programs are barely functional. Contractors have lost interest in taking up new projects because their bills remain unpaid and are gathering dust in government offices,” he said.
He pointed out that even though two months of the working season have already passed, macadamisation in the Valley has only just begun. Key utility schemes like the Jal Shakti programs are reportedly on hold, panchayat funds have been slashed, and government employees are facing severe delays in the disbursal of General Provident (GP) funds.
“Retired employees are yet to receive their gratuities, and the government treasuries are virtually empty. Even the Constituency Development Funds (CDF) meant for legislators have not been released, further eroding public trust in the political system’s ability to deliver development,” Akhtar added.
He also criticized the administration for its failure to manage public finances, despite the finance portfolio being held directly by Chief Minister Omar Abdullah. “If the department is collapsing under the CM’s watch, we can only expect worse if it is handed over to any other cabinet colleague,” he said.
“The Chief Minister keeps claiming he cannot control the bureaucracy and is powerless. But even the limited authority that the elected government holds is proving ineffective. Government ineptitude is contributing to an unprecedented economic collapse in Jammu and Kashmir,” Akhtar said.
He further noted that tourism, a vital sector of the region’s economy, has come to a standstill in the aftermath of the recent Pahalgam terror attack. “Instead of offering relief packages to taxi drivers and tour operators, the government has reduced its own spending. This is clearly impacting the private sector—real estate is in a slump, construction activity is largely on hold, roads are deserted, and markets remain empty. Businesses are collapsing, entrepreneurs are going bankrupt, and small traders are unable to service their debts,” he said.
Akhtar said that the National Conference-led government is adding to economic depression with their lackadaisical approach. “The MGNREGA has hundreds of crores in unpaid bills, setting back the rural economy. Nobody is ready to take up new works this year as their bills from previous years remain unpaid,” he said.
The PDP leader added that the subdued market activity during the recently concluded Eid festival was a clear sign of financial distress. “There was hardly any shopping. This Eid was the most sombre in recent memory, giving us a glimpse of the depth of the ongoing economic crisis,” he said—(KNO)
