Lieutenant Governor Manoj Sinha, in a press meet described the Rs 1,18,728-crore interim budget for Jammu and Kashmir as “growth oriented” on Sunday, pointing out that over the last four years, the Union territory's financial indicators have shown a consistent upward trend.
He said that nearly all of the unpaid electricity bills from 2005 have been paid (liquidated), which is a significant accomplishment for his government.
According to Sinha, the government is dedicated to ensuring the Union territory's development, peace, and advancement.
The 2024–25 Jammu and Kashmir interim budget, which was proposed by Finance Minister Nirmala Sitharaman, was recently approved by parliament. The interim budget calls for a 7.5% increase in the gross state domestic product (GSDP) and a fiscal deficit of Rs 20,760 crore.
“This is an interim Budget and no big announcement was made in it. This was the fifth budget for Jammu and Kashmir prepared under the leadership of Prime Minister Narendra Modi and during these five years, the government was successful in achieving various targets like overall development, employment generation and industrial growth,” Sinha told a press conference here.''
- Budget 2024-25 primarily a growth-oriented budget
• Power dues pending since 2005 almost liquidated
• From Rs 1200 Cr losses, J&K Bank running on profit of Rs 1,300 Cr
• Assures STs of no change in their quota policy after addition of 4 new communities
He said the self-respect of the people of Jammu Kashmir was restored with better opportunities for the youth, improved living conditions of farmers, women and the poor.
“The decades-old wounds of the people were healed and discrimination ended,” he said, adding the immediate goal of utilizing funds is to accelerate the pace of economic development in Jammu and Kashmir and make it multi-dimensional.
“The Budget 2024-25 is primarily a growth-oriented budget and in line with the endeavors of the UT government to double its economy in the next few years,” the Lt Governor said.
He said the capital expenditure recorded a quantum jump of 245 per cent in the past four years, reaching Rs 38,566 crore.
The Lt Governor said his administration followed the Centre's “mantra” on GDP – ‘G' for good governance, ‘D' for development and ‘P' for performance – and also added fiscal consolidation to it.
“The financial progress of the UT was fully taken care of with focus on how to increase revenue and capital expenditure and minimize the wasteful expenditure and it was achieved successfully,” he said.
He said the revenue receipt estimates for 2024-25 is Rs 97,861 crore, a 92 per cent increase compared to 2018-19.
As far as the GSDP is concerned, Sinha said, the reforms brought by the administration over the past four to five years resulted in its increase from Rs 1.6 lakh crore in 2018-19 to Rs Rs 2.4 lakh crore this year.
The tax revenue witnessed an increase of 12 to 15 per cent in the last four years, while the number of GST payers increased from 72,000 in 2018 to over two lakh at present and the GST revenue recorded a 51 per cent increase during the same period, he said, adding the excise revenue and stamp duty also recorded a quantum jump.
The central government's budgetary support also recorded a 51 per cent growth, he said.
“Because of the increase in the revenue receipts and assistance of the central government, the capital expenditure is expected to reach about 15 per cent of the GDP,” he said, adding the administration has achieved success in ensuring transparency and accountability to a large extent.
Referring to Jammu and Kashmir Bank, he said it is a living example of change over the past five years. “The bank has 1.4 crore account holders and was showing a loss of Rs 1,200 crore. Today, it is running a profit of Rs 1,300 crore which is expected to reach Rs 1,800 crore at the end of this financial year.”
He said non-performing assets (NPA) of the bank dropped from 11 per cent to 4.3 per cent, while the price of its shares increased from Rs 12.4 in 2019-20 to Rs 144 this year.
Meanwhile, Sinha reassured the Scheduled Tribes of the Union Territory that there will be no change in their reservation policy after the addition of four new communities to the list.
He termed as historic the passage of two Bills by the Parliament providing reservation to the Other Backward Classes (OBCs) in local bodies and addition of four more communities — Gadda Brahmin, Koli, Paddari Tribe and Pahari Ethnic group — to the list of Scheduled Tribes (STs) in Jammu and Kashmir.
“It (the passage of Bills) is an important decision for the social and economic condition of the groups concerned. The historic step would provide reservation to the OBCs in panchayat and urban local bodies elections, while the long pending demand of four communities who were included in the ST list was fulfilled,” the LG Sinha said.
He said there will be no impact on the 10 per cent reservation of the STs, including Gujjars and Bakerwals, who were included in the list decades ago.
“The Home Minister (Amit Shah) is on record having told the Parliament and public rallies in Rajouri (in Jammu) and Baramulla (north Kashmir) that the addition of the new communities will have no bearing on the reservation enjoyed by Gujjars, Bakerwals and other communities,” the Sinha said.
Asked about any initiative taken by his administration to counter any attempt by vested interests to mislead the public or disturb brotherhood by pitching Gujjars and Bakerwals against Paharis, he said, “No brotherhood is going to get disturbed in the Union Territory.
“Some people play politics and some are there to work for the benefit of the people. Both will continue and ultimately it is the truth which prevails,” he said.
