Slipping on development
Lack of development in most of the spheres in Jammu and Kashmir has been the major factor for investors to come to this place and establish industries that would have ensured growth and prosperity in the region.
It is lack of development that Jammu and Kashmir is left behind on most of the sectors and the region has emerged as a consumer rather than a producing province. The lack of industrial sector has not only meant a higher rate of unemployment but also an over dependence og government finances for ensuring growth in various important sectors.
Jammu and Kashmir has nearly six lakh educated youth striving to get employment. Even the figures shown in the last economic survey reveal that unemployment rate in Jammu and Kashmir is higher than the average national unemployment rate.
Interestingly, Jammu and Kashmir is having 24.6 percent unemployed population in the age group of (18-29 years) which is far more than the All India unemployment rate of 13.2 percent.
However, the policy makers in the region have not been able to respond to the crises in a measured and calculated way. The reasons can be manifold. One being the over indulgence with security related issues as the government during the past two years has not been able to devote much time and efforts to the other important issue confronting the newly carved out UT.
Even the planners have failed to work out a balanced formula to spend the budgetary allocations for the newly created UT. The current budgetary allocation point out to this brazenly.
It is depressing to note that out of Rs 30757 crore allotted to the Jammu & Kashmir Union Territory in the Union Budget of 2020-21, only Rs 3678 crore will be spent on development projects.
The funds earmarked in the union budget for J&K UT would mostly be spent on paying salary, pension ,gratuity, 7th central pay commission allowances and leave travel allowances of employees .
According to the break-up provided by J&K government, Rs 22000 crore would be spent on the salary, pension and other revenue component deficit in J&K UT.
Around Rs 4800 crore would be spent on meeting 7th CPC Allowance and LTC as per commitments made the Prime Minister and Home Minister after bifurcation of Jammu and Kashmir into two Union Territories and abrogation of its special status on August 5.
Of this funding, Rs 279 crore has been kept as disaster response fund for meeting unforeseen eventualities in J&K as per the guidelines of the Disaster Response Fund.
But concerning to note is the fact that a mere 3678 crore Rupees would be spent on development projects in UT. Of these Rs 3678 crore, Rs 1248 crore has been earmarked for funding of projects in rural and urban local bodies for one year and Rs 2430 crore for financing UT projects/schemes. This allocation is not only insufficient but will fail to hold ground especially at a time when the administration is trying to woo investors to the region citing its growth oriented agenda for Jammu and Kashmir.
KV News
