Jammu, Feb 2 (PTI) Lieutenant Governor Manoj Sinha on Monday said the economy of Jammu and Kashmir has demonstrated encouraging momentum in recent years, with the Union Territory recording an annual nominal
growth rate of around 11 per cent in 2024-25.
He said that the growth reflects positive outcomes of sustained policy reforms, enhanced infrastructure development and proactive investment facilitation.
"The economy of J and K has demonstrated encouraging momentum in recent years. The Union Territory recorded an annual nominal growth rate of around 11 per cent (2024-25), reflecting the positive outcomes of sustained policy reforms, enhanced infrastructure development, and proactive investment facilitation," Sinha said while addressing members of Legislative Assembly here at the start of the budget session.
Sinha said the government remains committed to consolidating this growth trajectory through strengthened fiscal discipline and creating diversified and sustainable employment opportunities, with particular emphasis on youth and women.
The Lieutenant Governor said Jammu and Kashmir has emerged as one of the fastest-growing Union Territories in the country, with GST revenue collections increasing from Rs 8,064 crore in 2023-24 to Rs 8,586 crore in 2024-25.
He added that tariff from electric power witnessed a substantial increase of 16 per cent during 2024-25. Highlighting financial assistance, Sinha said the Special Assistance to States for Capital Infusion (SASCI), which provides interest-free loans for capital investments, has been extended to J and K from the current financial year.
He said Rs 1,431 crore has been sanctioned under SASCI for 222 projects, along with Rs 210 crore as matching share for 12 centrally-sponsored schemes.
"The first instalment of Rs 1,083 crore, accounting for 66 per cent of the sanctioned amount, has already been received," he said.
The Lieutenant Governor said that digital governance has seen significant progress, with the Union Territory recording 82 crore e-transactions during the previous year, averaging over 22 lakh transactions per day.
He said 128 services have been integrated with DigiLocker, while complete Aadhaar seeding of welfare beneficiaries has enabled seamless Direct Benefit Transfer (DBT).
He said that around Rs 9,000 crore has been credited directly to the accounts of 80 lakh beneficiaries through 77 DBT-based schemes during the current financial year.
Sinha added that the government is also formulating a comprehensive Artificial Intelligence strategy to drive innovation and efficiency across priority sectors, including healthcare, agriculture, mobility, education and law enforcement.
Referring to governance reforms, Sinha said the government has laid renewed emphasis on responsive and people-centric administration.
He said regular public grievance redressal meetings at the Chief Minister’s Outreach Office and the strengthening of the JK Samadhan portal have helped resolve thousands of grievances through time-bound interventions.
The Lieutenant Governor also said Jammu and Kashmir Bank has undertaken various reforms with the support of the UT government, including professionalisation of management, merit-based selection of top posts and capital infusion.
He said these measures have resulted in a turnaround of the bank, improving its net non-performing assets and capital adequacy. Highlighting infrastructure development, Sinha said that the road sector has witnessed unprecedented investment of Rs 61,528 crore, covering expressways, national highways, ring roads and tunnels to enhance regional and inter-regional connectivity.
He said that three major tunnels, including the Sonamarg Tunnel, have been completed, while eight others, including the strategic Zojila Tunnel, are at advanced stages of completion.
The Narbal–Shopian–Surankote road has also been declared a National Highway, further strengthening all-weather connectivity across the Pir Panjal region, he added. PTI AB ANU
