Srinagar: What is there in the Government of India’s budget for Jammu and Kashmir’s business community? Nothing, say business leaders and stakeholders.
The budget presented by Finance Minister Nirmala Sitharaman has allocated Rs 35,581 crore to J&K, of which Rs 33,923 crore has been allocated to meet revenue deficit gap/ resource gap. Rs 279 crore grants are as disaster response fund, Rs 273 crore as rehabilitation for Dal-Nigeen lake, Rs 476.44 crore grant towards equity contribution for 624 MW Kiru project, and Rs 500 crore support for capital expenditure. But nothing that would make the business community feel enthused.
For Sheikh Ashiq, the head of Kashmir Chamber of Commerce and Industry, the Budget has nothing for the business community, though he expects the government to come up with something substantial for the revival of J&K’s ailing economy.
“Till as long as the government comes up with a support system, nothing will change on the ground for the business community,” he said.
Jammu and Kashmir’s economy is bleeding. Its leaders have crumbled under bank debt and shut markets. Kashmir mostly remains disturbed due to the political situation, preventing the community to have enough business days to work for, and the Covid lockdowns have only exacerbated this problem.
Ashiq said that since August 2019, Kashmir’s economy has suffered over Rs 50,000 crore losses, while around one lakh youth have lost their jobs. According to the KCCI, of the estimated Rs 50,000 crore loss, about Rs 10,000 crore loss has been incurred this year due to the Covid lockdown.
The Federation Chamber of Industries Kashmir (FCIK), too, has felt disappointed with the Union Budget for 2022-23.
“As the FCIK sees it, the Budget has nothing to boost demand in MSME sector,” FCIK President Shahid Kamili said, adding that the unemployment rate of 21% in JK is the highest in the country. He said the business community was expecting a PM Development Initiative scheme for JK, just as the North East is getting Rs 1500 crore for development of projects in this Budget.
“The revamping of CGTMSE scheme will facilitate additional credit of Rs 2 lakh crore for MSMEs but pumping of additional finance will not boost the demand in the country, especially in JK as it needs marketing support,” Kamili said.

Junaid Nabi Bazaz