Financial position of J&K has improved: FM

Union Finance Minister Nirmala Sitharaman speaking in the Rajya Sabha on Wednesday. (UNI)
Union Finance Minister Nirmala Sitharaman speaking in the Rajya Sabha on Wednesday. (UNI)

‘Cong laid red carpet for separatists’

Process of taking OD discontinued

Excelsior Correspondent

JAMMU, July 31: Union Finance Minister Nirmala Sitharaman today said if there was a ‘Trojan Horse’, it was Article 370 and 35-A which kept Jammu and Kashmir away from being integrated into India as she accused the Congress of laying red carpet for separatists in the Valley.

Follow the Daily Excelsior channel on WhatsApp
She was replying to debate on general budget and the budget of the Union Territory of Jammu and Kashmir in the Rajya Sabha this afternoon.
With Lok Sabha having approved J&K’s budget yesterday and the Rajya Sabha giving its nod today, the UT’s budget has been cleared by the Parliament. After completion of formalities, the budget will be released to the UT Government.
The Finance Minister had tabled Rs 1,18,390 crore worth budget of Jammu and Kashmir in the Parliament on July 23 along with general budget of the country. Debate on both the budget was held jointly in two Houses of the Parliament while Sitharaman also replied to the debate collectively.
Responding to the Opposition’s “Trojan Horse” remark in the backdrop of the Centre bearing Rs 12,000 crore towards Jammu & Kashmir Police, the Finance Minister said if at all there was a `Trojan Horse, it was Article 370 and 35-A which kept Jammu and Kashmir away from being integrated into India.
While participating in debate on the budget, some of the Opposition members had expressed apprehension that the Centre financing the Jammu & Kashmir police might have been a part of a plan to “retain” the Home Affairs of the UT with the Central Government . The Opposition labelled the decision a “Trojan Horse” approach.
She said Article 370 and 35-A was a real ‘Trojan Horse’ as they were not even a part of the Constitutional amendment.
“It was put in the appendix… that is also part of the Constitution…but it was not duly brought as the Constitutional amendment,” the Finance Minister added.
Taking a dig at the INDIA bloc members especially those carrying Constitution book in their hands, Sitharaman asked: “Was not keeping J&K away from integration with India a Trojan Horse”?
Accusing the Congress of laying red carpet for separatists in Kashmir, the Finance Minister said the party created permanent and perpetual problems, but now we can develop J&K and contain terrorists.
She emphasised that the financial position of Jammu and Kashmir has improved and that the UT has discontinued the earlier practices of running ‘hundis’ and overdrafts from J&K Bank for its day-to-day cash management.
“During the last four years, the J&K Bank has made a remarkable turnaround. From a loss of Rs 1,139 crore in 2019-20, the Bank had a profit of Rs 1,700 crore in the year 2023-24,” she said.
Sitharaman said Jammu and Kashmir is in a healthy fiscal situation being able to meet the developmental aspirations of the people.
Asserting that the doubt about Centre bearing the cost of J&K Police’s salary was raised deliberately, she said: “This is done to create the atmosphere of doubt about India, its governance and the federal structure. This approach is not healthy”.
Reiterating BJP’s long stand on Jammu & Kashmir even before Article 370’s abrogation on August 5, 2019, Sitharaman said, “We belong to the party which firmly believed in Ek Desh, Ek Nishan, Ek Vidhan (one nation, one symbol, one rule) right since 1947.”
Earlier, the Finance Minister replied to the Union Budget discussion in Lok Sabha, saying “We have provided substantial financial support of Rs 17,000 crore in the Union Budget of the Union Territory of Jammu and Kashmir this year. It includes Rs 12,000 crore towards financing the cost of Jammu and Kashmir police”.
“That’s a burden we want to take on our shoulders so that J&K has more flexibility to spend money on development activities. An additional Central assistance of Rs 5,000 crores has also been provided,” she further said.