Prime Minister Narendra Modi-led government has again come to the rescue of financially-challenged Jammu and Kashmir. The Centre has restructured the entire debt of the Union Territory. In addition, the government has paid Rs 10,,000 crore over and above the revised budget estimates in the last two financial years. The Centre has also awarded Rs 5,166 crore for capital investment projects. A special assistance of Rs 1,350 crore has also been granted to support hydel power projects. Additionally, Rs 1,407 crore has been provided under SASCI. The Centre has kept the window open for paying Rs 4,886 crore to Jammu and Kashmir provided it undertakes certain reforms. This is in addition to Rs 13000 crore to meet the salary and pensions of J&K police annually. Earlier this year, the Finance Minister proposed Rs 43290.29 crore for the Union Territory, which is Rs 2000 crore more than the allocation for the current year. J&K’s assistance has been revised to Rs 41340 crore, up from Rs 41000.07 crore, marking an increase of Rs 340 crore. The budget proposed Rs 42650 crore as central assistance to bridge the resource gap of J&K, Rs 279 crore as grants towards contribution to the Union Territory Disaster Response Fund, Rs 259 crore as equity for the Jhelum Tawi Flood Recovery Project, and Rs 101 crore as support for capital expenditure in the Union Territory. Jammu and Kashmir holds a special place in PM Modi and Union Home Minister Amit Shah’s heart. That is why the funds have never been a problem for the Union Territory. In fact, the Centre has been pumping huge money into infrastructure development in Jammu and Kashmir. Its focus has been on the air, road and train infrastructure. The Centre is building 19 tunnels for Rs 25,000 crore. Earlier this year, the Union Ministry of Agriculture and Rural Development approved a ₹3,550 crore project for road connectivity. Under Pradhan Mantri Gram Sadak Yojana, 330 all-weather roads will be constructed across 363 remote and far-flung villages. Cabinet Committee on Economic Affairs has also approved the expansion of Srinagar International Airport at an estimated cost of Rs. 1,677 crore. Post 2019, the Centre has been making all-out efforts to ensure speedy development in Jammu and Kashmir. The government deserves kudos for helping out cash-strapped Jammu and Kashmir. Yet, the government must focus on making Jammu and Kashmir a financially self-reliant UT. We are still lacking in the industrialization index. Our manufacturing sector is almost zero. We heavily rely on tourism and horticulture sectors. But this too cannot meet our local financial needs. We need industry, investment, and jobs. Like other states, the Centre should hold an investor meeting in Jammu and Kashmir to woo big corporates to set up units in J&K. Terrorism has been defeated. Peace has returned. The government should showcase our achievements to attract investments in key sectors. This will help us to become financially self-sufficient to meet our development needs.
Debt restructuring
