J&K’s Rs 1.01 lakh cr budget proposes Rs 200 cr for B2V Prog
Ladakh’s 5-month budget pegged at Rs 5754 cr
Rs 679 cr for KPs’ relief, Govt to address needs of refugees
J&K fastest growing UT with 11 pc GSDP
Sanjeev Pargal
JAMMU, Mar 17: Finance Minister Nirmala Sitharaman today presented Rs 1.01 lakh crore worth annual budget for Jammu and Kashmir for the financial year of 2020-21 in the Lok Sabha proposing 50,000 jobs in the Government sector backed by budgetary allocation of Rs 2000 crore for upcoming fiscal year and announced introduction of three religious circuits to re-energize tourist industry in the Union Territory.
The budget statement of Sitharaman tabled in both Houses of the Parliament today stated that out of total budget estimates of Rs 1,01,428 crore for 2020-21, Jammu and Kashmir will have Rs 38,764 crore for development, an increase of 27 percent and expressed hope to achieve GSDP growth of 11 percent, making J&K one of the fastest growing Union Territory. Current financial year’s budget was Rs 88,911 crore.
The Union Finance Minister also presented supplementary Grants for the period of seven months in respect of undivided Jammu and Kashmir State w.e.f. Ist April, 2019 to 30th October, 2019, budgetary estimates for five months of 2019-20 from 31st October, 2019 to 31st March, 2020 for the UT of J&K and budget estimates for five months of 2019-20 w.e.f. 31st October, 2019-31st March 2020 for the UT of Ladakh.
Total budget estimates for the UT of Ladakh for last five months of 2019-20 (from 31st October, 2019 to 31st March, 2020) stood at Rs 5754 crore. Of this, capital expenditure would be Rs 4618.35 crore and revenue expenditure Rs 1135.65 crore.
Giving major boost to employment in the newly created Union Territory of J&K. Sitharaman proposed to fill up 50,000 vacancies in Government sector. For filling up of these posts, she allocated Rs 2000 crore for the year 2020-21.
“Self-employment will receive due attention and priority sector lending in 2020-21 will be increased upwards of Rs 27,000 crore. We intend to cover any unemployed youth who wishes to set up his/her own business under various schemes. As many as 64,899 unemployed youth will be provided skill training. Rs 31.42 crore are being provided as Revolving Fund to bring 2,09,500 women under the fold of an equal number of Self Help Groups. Rs 103.35 crore will be provided as Community Investment Fund for Self Help Groups which have shown due progress. Rs 50 crore are being earmarked for Mission Youth—the Union Territory Government’s major initiative for engagement of youth for their upliftment/employment. Rs 750 crore are being provisioned for skill up-gradation of 5000 craftsmen and for capacity building of craft instructors under Handicrafts sector,” the Finance Minister said.
Sitharaman proposed introduction of three religious circuits in Jammu and Kashmir to give boost to pilgrimage tourism for re-energizing economy.
The proposed circuits included Shiv Khori-Utterbehni-Purmandal-Mata Sukrala Devi Ji, Shankaracharya-Mata Khir Bhawani-Martand (Mattan) and Makhdoom Sahib-Khanqah-e-Moula-Watlab-Babareshi-Pakharpora-Aishmuqam (as Sufi circuit).
“For Tourism and Culture sectors, an allocation of Rs 706 crore has been made for the year 2020-21, which is Rs 260 crore more than previous year’s budget allocation,” the Finance Minister said.
She also proposed to provide Rs 50 crore for restoration/preservation of Dal and Wular lakes in Kashmir.
She proposed to provide employment opportunities to about 7000 unemployed youth under J&K Rural Employment Generation Programme (JKREGP) at an estimated provision of Rs 25 crore through Khadi and Village Industries Board.
Laying major thrust on rural development especially after successful conduct of Panchayat and Block Development Council (BDC) elections, the budget proposed an allocation of Rs 5284 crore for the year 2020-21, which is Rs 1951 crore more than previous year’s budget allocation. It also proposed Rs 200 crore under the `Back To Village’ Programme launched by the Jammu and Kashmir twice last year.
Sitharaman proposed Rs 679 crore for salary, cash assistance, food grains and civic action programme for Kashmiri migrants for the next financial year, Rs 319 crore more than the current fiscal.
“Under the Prime Minister’s Package for Return and Rehabilitation of Kashmir migrants to the Valley, various incentives like housing, employment, transit accommodation, waiver on loan etc are provided for mitigating sufferings of the migrants. The package envisages employment to 15000 unemployed youth as an incentive to return to the Valley and this process is continuing since its inception. The Government is sensitive about this issue and adequate measures will be taken for honourable return of migrants to their ancestral places,” she said.
The Finance Minister said with the abrogation of Article 370 and Re-organization of Jammu and Kashmir into Union Territory, the PoK and West Pakistani refugees have qualified for citizenship rights which were denied to them since 1947.
“The Government will take care of their rehabilitation needs. They will now get all rights due to every citizens of the country,” she added.
A provision of Rs 300 crore has been kept for Education sector and Rs 30 crore for Sports saying the UT Government intends to establish playgrounds in each Panchayat. However, for School and Higher Education sectors, an allocation of Rs 2392 crore has been made for the year 2020-21, which is Rs 1000 crore more than the previous year’s budget allocation.
Sitharaman kept a provision of Rs 8 crore for setting up of 20 digital dispensaries in each district of the Union Territory. The Government will also set up 86 Jan Aushadi Kendras and 16 AMRIT stores for affordable medicines for poor patients.
Total allocation for Health and Medical Education sector stood at Rs 1268 crore, which is Rs 500 crore more than previous year’s budget allocation.
For industrial infrastructure sector, the Finance Minister proposed allocation of Rs 494 crore, which too is Rs 227 crore more than previous year’s allocation. For Public Works and Transport sectors, an allocation of Rs 3156 crore has been made, which is Rs 758 crore more as compared to previous year. Of it, Rs 400 crore have been earmarked to improve quality of roads while 48 bridges benefiting 1.6 lakh people will be completed in the UT.
While Rs 310 crore have been set aside for road sector benefiting 1.65 lakh persons, Rs 8 crore will be provided by the Government for newly created Mass Rapid Transit Corporation for Jammu and Srinagar to improve Urban Transport System. Rs 100 crore have been provisioned for restoration of health of J&K Road Transport Corporation.
The Finance Minister proposed a total allocation of Rs 3156 crore for 2020-21 for Public Works and Transport sectors, Rs 758 crore more than previous year while Rs 2265 crore have been kept for the year 2020-21, which is Rs 70 crore more than last year’s budgetary provision.
“To improve power sector in Jammu and Kashmir and carry forward the reform, the Government intend to earmark Rs 607 crore. Strengthening of enforcement and 100 percent metering are some of the key objectives,” the budget said.
Jammu and Kashmir had original grant for the financial year 2019-20 to the tune of Rs 88,911 crore. However, from April 1, 2019 to October 30, 2019, Jammu and Kashmir withdrew Rs 20,870.40 lakh excess grant under the relevant demand of the Consolidated Fund to defray expenses on services and purposes required during the period. This, as per the budget document, was largely necessitated due to expenses related to Local Body elections and Security Related Expenditure.
The Supplementary Grants for the period of seven months proposed to authorize payment and appropriation of Rs 20,870.40 lakh from out of the Consolidate Fund of J&K.
Total expenditure for the Union Territory of Jammu and Kashmir during five months from October 31, 2019 to March 31, 2020 were estimated at Rs 55,317.81 crore including Rs 23,910 crore as capital expenditure and Rs 31,406 crore as revenue expenditure.
The tax/GSDP ratio of Jammu and Kashmir is 6.59 percent which is higher than the previous year of 6.19 percent. Debt/GSDP ratio for previous years is 48 percent which is within the FRBM limits and will remain within the limits in 2020-21 also. GSDP for 2020-21 has been projected at Rs 2,01,054 crore which shows a growth of 11 percent over the previous year.
“The capital component of the budget has increased substantially and the expected revenue receipts are Rs 91,100 crore whereas revenue expenditure is expected to be Rs 62,664 crore thereby making available revenue surplus for capital expenditure to the tune of Rs 28,436 crore,” she added.
The Capital Receipts are projected at Rs 10,329 crore and Capital Expenditure is expected to the tune of Rs 38,764 crore which is 27 per cent higher than previous year’s budget.
For rural development an allocation of Rs 5,284 crore has been made for the year 2020-21, which is Rs 1,951 crore more than the previous years’ budget allocation, she said.
The Government has made an allocation of Rs 2,392 crore, which is Rs 1,000 crore more than the previous year’s budget allocation for School and Higher Education Sector.
With regard to the total receipts, she said, Rs 40,498 crore are revenue receipts, Rs 5,794 crore are in the form of borrowings and Rs 9,025.81 crore are Ways & Means Advances.
The own revenues are estimated to be Rs 11,326 crore with Rs 5,462 crore as the share of the Union Territory in central taxes.
In addition to this, Rs 23,710 crore are to flow as other central transfers, she added.
With regard to Direct Benefit Transfer (DBT), Sitharaman said Rs 1,705 crore has been disbursed through this to 45 lakh beneficiaries and 60000 new pension cases shall be covered through DBT Scheme.
“We intend to achieve 100 per cent coverage under individual beneficiary schemes, particularly under various scholarship schemes,” she said.
Highlights
* Tax/GSDP ratio put at 6.59 pc
* Budget for last 5 months of 2019-20 Rs 55,317 cr
* J&K to have Rs 38,764 cr for development in 2020-21
* 20 digital dispensaries in each district.
* Budget presented in Parliament in absence of elected Assembly.
* Budget speech of Finance Minister Nirmala Sitharaman tabled by MoS Finance Anurag Thakur.
* Playgrounds for every Panchayat.
* 86 Jan Aushadi Kendras to be set up
* Rs 50 cr for Dal, Wular lakes.
* J&K withdrew Rs 20,870 lakh excess grants.
* Tourism, Culture sectors get Rs 706 cr.
* Major boost to rural development with Rs 5284 cr.
* Govt to take care of Rehab needs of PoK, WP refugees.
* Rs 300 cr for Education, Rs 1268 cr for Health.
* Rs 607 cr provision for power reforms.
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