“It is pro-people and growth-oriented with focus on key sectors”
LG reveals futuristics features of J&K Budget 2024-25
Jammu: Describing the J&K Budget 2024-25 as ‘growth-oriented’, Lt Governor Manoj Sinha today said that it is in line with the endeavours of the UT Government to double its economy in the next few years.
He said that the immediate goal of the Budget is to accelerate the pace of economic development in the UT of J&K and make it multi-dimensional.
Addressing media persons here, LG said that GDP for the year 2024-25 has been projected at Rs 2,63,399 crore which shows a growth of 7.5% and the tax/Gross Domestic Product (GDP) ratio for 2024-25 has been projected at 7.84 percent which is just higher than previous year’s 6.56 percent.
LG said that the focus areas of the budget are Good Governance; Strengthening Grass-root Democracy; Promoting Holistic and Sustainable Agriculture; Promoting Jammu and Kashmir as an Investment Destination; Employment Generation; Developing New Tourism Destinations; Accelerated Development & Inclusive Growth; Women Empowerment and; Social Inclusion.
LG said that the reforms done in the last four to five years have resulted in the growth of J&K’s GDP from Rs 1.6 lakh crore in 2018-19 to Rs 2.64 lakh crore in 2021-22.
Citing the example of J&K Bank, LG said that it was a Rs 1200 loss institution and is now flourishing with Rs 1300 Cr profit.
“This year, we hope to see J&K Bank’s profit touching Rs 1800 Crore,” he said.
He said that the economic condition of the UT is much better than what it was earlier and J&K administration’s efforts have been to increase capital expenditure and decrease revenue expenditure.
The LG said that revenue expenditure of J&K is Rs 80,000 Crore as a vast portion goes into salaries of employees while capital expenditure has recorded a quantum jump of Rs 38000 Crore from Rs 11000 Crore.
Discussing the budget in detail, LG said that the reforms done in the last few years have resulted in the growth of J&K’s GDP from Rs 1.6 lakh crore in 2018-19 to Rs 2.64 lakh crore in 2021-22.
“The reforms done in the last four to five years have resulted in efficient growth. J&K is on the path of good governance, development and peace,” he said during a press conference here today on Budget 2024-25.
He said the Budget 2024-25 reflects the “felt needs and aspirations of the people” of J&K, as well as the commitment of the UT administration for peace, progress and prosperity.
“The immediate goal is to accelerate the pace of economic development in J&K, and make it multi-dimensional,” he said.
The Budget 2024-25 is primarily a “growth-oriented” budget and in line with the endeavours of the UT government to double its economy in the next few years, he said.
Sharing important figures about the Budget, he said its size (for 2024-25) is Rs. 1,18,728 crore as against Rs. 1,18,500 in 2023-24. Revenue Receipt Estimates for 2024-25 is Rs 97,861 crore and Capital Receipt Estimate is Rs 20,867 crore,” he said.
Later an official press release informed that Revenue Expenditure for 2024-25 is pegged at Rs. 80,162 crore with sector-wise allocations as: Administrative Sector Rs. 12,580 crore; Social Sector Rs. 24600 crore; Infrastructure Sector Rs. 12,675 crore; Economic Sector Rs. 5,306 crore.
It also informed that the Capital Expenditure (i.e Developmental Expenditure) for 2024-25 is Rs. 38,566 crore with broad sectoral allocation as: Administrative Sector Rs. 1,362 crore; Social Sector Rs. 3,779 crore; Infrastructure Sector Rs. 13,512 crore; Economic Sector Rs. 6854 crore; Capital Expenditure contribution towards GDP is 14.64%.
The GDP for the year 2024-25 has been projected at Rs 2,63,399 crore which shows a growth of 7.5%, the official press release said.
It also said the tax/Gross Domestic Product (GDP) ratio for 2024-25 has been projected at 7.84 percent which is just higher than previous year’s 6.56 percent.
Sharing details, it was informed that the total receipts in respect of Vote on Account for part of financial year 2024-25 are estimated at Rs 59,364 crore excluding the provision for ways and means advances of Rs 16,568 Crore. These receipts include Rs. 48,930 crore as revenue receipts and Rs. 10,434 crore as capital receipts.
The own revenues both tax and non tax are estimated to be Rs. 15,158 crore. Rs 18,639 crore is to flow as central assistance and Rs. 8424 crore as CSS/PMDP to the UT of Jammu and Kashmir.
The total net expenditure is estimated to be Rs 59,364 crore. This includes the estimated capital expenditure of Rs 19,283 crore and the estimated revenue expenditure of Rs 40,081 crore.
The LG also said that the focus areas of his administration are good governance, strengthening grass-root democracy, promoting holistic and sustainable agriculture, promoting Jammu and Kashmir as an investment destination, employment generation, developing new tourism destinations, accelerated development & inclusive growth, women empowerment, and social inclusion.
To a query about reservation to SC’s, he said that some people will continue to do politics over the issue the way they did on the issue of providing land to landless. “Let them continue their job, we will do ours,” he said.
The LG said that J&K Bank that was running a loss of Rs 1200 crore “is now flourishing with Rs 1300 crore profit”. This year, we hope to see J&K Bank’s profit touching Rs 1800 crore, he said.
Sinha also said the present administration has inherited (has to pay) huge power debts worth Rs 28,000 crore.
The LG also said that the economic condition of the UT is much better than what it was earlier. “J&K administration’s efforts have been to increase capital expenditure and decrease revenue expenditure,” he said.
The LG said that revenue expenditure of J&K is Rs 80,000 crore as a vast portion goes into salaries of employees while capital expenditure has recorded a quantum jump of Rs 38000 crore from Rs 11000 crore.
Sector-wise Key Features for 2024-25:
Agriculture & Allied Sectors: Rs. 2029.95 Crore
Health & Wellness: Rs. 1427.61 Crore
Rural Development & Panchayati Raj: Rs. 3730.83 Crore
Power Sector: Rs. 1875 Crore
Tourism & Culture: Rs. 469.20 Crore
Water Supply & Irrigation: Rs. 5038.74 Crore
Housing & Urban Development: Rs. 2329.55 Crore
Education: Rs. 1300.10 Crore
Connectivity (Roads & Bridges): Rs. 4108.87 Crore
Industrial Development: Rs. 529.62 Crore
Social/Tribal Welfare: Rs. 306.82 Crore
Relief & Rehabilitation of Kashmiri Migrants: Rs. 1067.61 Crore
Skill Development & Employment: Rs. 165.50 Crore
Sports & Youth Initiatives: Rs. 141.80 Crore
Forestry & Environment: Rs. 156.45 Crore
Food & Civil Supplies: Rs. 313 Crore
Science & Technology: Rs. 159.50 Crore
Security Related Activities: Rs. 1284.45 Crore
ALLOCATION TO MAJOR SCHEMES
| S. No. | Schemes/Activities | Allocation 2024-25
(in ₹ crore) |
Initiatives |
| 1 | Holistic Agriculture Development Programme (HADP) | 934 | Holistic Agriculture Development Programme for 29 projects at an outlay of Rs 5013 Cr over the period of next five years. |
| 2 | Horticulture | 60 | Establishment of cold storage and high-density plantation. |
| 3 | Industrial Estate | 400 | Development of new Industrial Estates for investment and employment creation. |
| 4 | Industrial Incentives | 40 | Incentives as per the provisions of Industrial Policy and start-ups. |
| 5 | GST Refund | 450 | GST refund for industrial units as an incentive |
| 6 | Trade Promotion | 15 | Promotion of trade through events at National & International level through Jammu & Kashmir Trade Promotion Organization. |
| 7 | Employment Schemes | 200 | Youth Start-up/Seed Capital Fund schemes and implementation of Mission Youth Schemes for self-employment of youth |
| 8 | Capitalization of Banks | 500 | Capital support for J&K Bank, Regional Rural Banks (RRBs) and Cooperative Banks. |
| 9 | Road Sector | 3983 | Construction of roads under PMGSY, CRIF and NABARD loan scheme. |
| 10 | Equity for new Hydro Electric projects | 660 | Equity support for construction of Rattle, Kawar and Kiru Hydro Electric projects. |
| 11 | Jal Jeevan Mission | 3491 | Functional Tap connections to all the households. |
| 12 | Flood Management | 390 | For flood management projects of river Jhelum. |
| 13 | Swach Bharat Mission (Urban) | 370 | Achieving ODF+ status in all the urban local bodies. |
| 14 | Sewerage Management | 100 | Construction of sewerage treatment plants. |
| 15 | New Townships | 70 | Development of new townships for housing. |
| 16 | Dal Development | 50 | Development and preservation of Dal lake. |
| 17 | Social Security Schemes | 1430 | Financial assistance under Ladli Beti and Marriage Assistance scheme. Old Age, Widow and Disabled pension. |
| 18 | Tribal Welfare | 70 | Infrastructure for welfare of Tribal like tribal hostels, milk villages, nomad shelters and libraries. |
| 19 | Relief and Rehabilitation of Kashmiri Migrants | 400 | Construction of accommodation for Kashmiri migrant employees appointed under PM Package. |
| 20 | Samagra Shiksha Abhiyan (SSA) | 1907 | Recurring expenditure for SSA employees and non-recurring expenditure for infrastructure of primary and secondary institutions. |
| 21 | PM SHRI | 175 | Setting up of PM SHRI schools for quality education. |
| 22 | Quality Education | 30 | Improving quality in schools in respect of infrastructure and career counseling. |
| 23 | Higher Education | 400 | For infrastructure of colleges and universities. |
| 24 | Drugs and Equipments | 500 | Providing of drugs, machinery and equipments for health institutions. |
| 25 | National Health Mission (NHM) | 1271 | Recurring expenditure for NHM employees and non-recurring expenditure for infrastructure of health institutions |
| 26 | Pradhan Mantri Awas Yojana-Gramin(PMAY-G) | 1093 | Support for construction of own house to houseless poor families in rural areas |
| 27 | PRI and ULB Grants | 1313 | For development works of PRIs and ULBs. |
| 28 | DDC/BDC Grants | 271.25 | Rs 200 crore @ Rs 10 crore each for 20 DDCs and Rs 71.25 crore @ Rs 25 lakh each for 285 BDCs as development fund. |
| 29 | Security and Accommodation for Local Body Representatives | 80 | Security and construction of accommodation and offices for DDCs/BDCs/PRIs members. |
| 30 | Tourism Sector | 123 | Promotion of Tourism, development of new tourism destinations, new circuits, ropeways and promotion of golf. |
| 31 | Preservation of Culture | 115 | Heritage preservation, promotion of festivals and cinema/theatre. |
| 32 | World Bank Aided Projects | 100 | Construction of infrastructure under Jhelum Tawi Flood Recovery Project (JTFRP) |
| 33 | Sports Initiatives | 140 | Creation of sports infrastructure. |
| 34 | Renewable Energy | 150 | Installation of solar rooftops and solar pumps |
| 35 | Security Infrastructure | 65 | Construction of police housing colonies, bunkers in border areas and installation of CCTVs in police stations. |
