Effective measures taken by the Union Territory administration yielded encouraging results as the Gross State Domestic Product (GSDP) of the J&K is expected to grow at 7.5 percent during the current fiscal year.
While admitting that fiscal management is the biggest challenge before the administration, Jammu and Kashmir Lieutenant Governor Manoj Sinha on Monday said that J&K's GSDP is expected to grow at 7.5 percent during the current fiscal year.
"As we all know, historically Jammu and Kashmir has faced challenges in fiscal management due to the unabated pressures of externally sponsored terrorism", Sinha said while interacting with media persons at Srinagar, adding, "GSDP for the year 2024-25 has been projected at Rs 2,63,399 crore which shows a growth of 7.5% over GSDP of 2023-24".
He further said that the tax/Gross Domestic Product (GDP) ratio for 2024-25 has been projected at 7.92 percent which is higher than the previous year's 5.68 percent.
The Lieutenant Governor further said that the UT government improved GST return compliance, initiated an e-stamping system, expanded dealer registration, and conducted transparent excise auctions.
"Tax revenues have increased from Rs 12753 crore in 2022-23 to Rs. 13,900 crores in 2023-24 registering growth of nine percent", he said, adding, "GST collection increased by 12 percent and excise collection increased by 39 percent in the financial year 2023-24 as compared to the financial year 2022-23", he said.
Pointing towards salient features of the budget, the LG said, "The budget of Union Territory of Jammu and Kashmir for the financial year 2024-25 was tabled before the Parliament on 23rd July 2024 and passed in both Houses on 8th August 2024".
"The size of the Budget 2024-25 is Rs. 1,18,390 crore. It is Rs. 30889 crore higher than the expenditure of 2023-24. Revenue Receipt Estimates for 2024-25 is Rs 98,719 crore and Capital Receipt Estimate is Rs 19,671 crore", he pointed out.
Revenue expenditure for 2024-25 is pegged at Rs 81,486 crore.
The administrative sector has Rs 9,881.68 crore, the social sector Rs 24,870.50 crore, the infrastructure sector Rs 15,719.40 crore, and the economic sector Rs 5,555.48 crore.
J&K records a 25 percent reduction in T&D losses
As part of power sector reforms, 5.74 lakh smart meters have been installed by June 2024 resulting in a 25 percent reduction in Transmission & Distribution (T&D) losses and a 10 percent increase in tariff collection per month.
"The Government of India is supporting to enhance Power Generation from 3500 MW to about 6500 MW till 2026-27. So far, the Government of India has provided an equity share of Rs. 2430.60 crore to the UT for the development of four new Hydro Electric projects", he said.
Gurez Valley in Northern Kashmir which remained without electricity since Independence has now been connected to the electricity grid during last year.
"Better availability of power which will give a boost to tourism and industries thus fulfilling the goal of no poverty, economic growth to provide sustainable jobs and promote equality", he said, adding, "Implementation of Loss Reduction works already in place. Majorly LT-AB Cabling work and removal of bare conductor to improve billing efficiency and bring down the AT and C losses".
