Centre Raises Jammu & Kashmir Budget Support by Nearly ₹2,000 Crore
Srinagar, Feb 1: Zahoor Lolabi
The Union Budget for 2026–27 has proposed an allocation of ₹43,290 crore for the Union Territory of Jammu and Kashmir, marking an increase of nearly ₹2,000 crore compared to the ongoing financial year.
As per budgetary details, the enhanced allocation reflects continued central support for the Union Territory’s development and fiscal needs. The revised assistance for the current financial year has been placed at ₹41,340 crore, higher than the original estimate of ₹41,000 crore, indicating an upward revision of about ₹340 crore.
For the coming financial year, the Centre has proposed ₹42,650 crore as central assistance to help bridge Jammu and Kashmir’s resource gap. In addition, the budget includes ₹279 crore as grants for contribution to the Union Territory Disaster Response Fund, aimed at strengthening disaster preparedness and response mechanisms.
The budget also allocates ₹259 crore as equity support for the Jhelum–Tawi Flood Recovery Project, a key initiative focused on mitigating flood risks and strengthening infrastructure resilience in the region. Furthermore, ₹101 crore has been earmarked to support capital expenditure in the Union Territory.
Officials say the increased allocation underlines the Centre’s focus on infrastructure development, disaster management, and financial stability in Jammu and Kashmir. The higher outlay is expected to provide a boost to ongoing development projects and improve the UT’s capacity to meet administrative and public service commitments.
The detailed sector-wise distribution of funds is expected to be outlined separately in official budget documents.
