Srinagar- In a significant move, the Central Government has decided to assume full financial responsibility for the Jammu and Kashmir Police, the second most populous department within the Jammu and Kashmir government. This decision, announced by Finance Minister Nirmala Sitharaman in the budget speech today, is set to reshape the fiscal landscape of the Union Territory.
In her speech, Sitharaman highlighted the heavy financial burden posed by the policing budget, which consumes approximately 11 per cent of Jammu and Kashmir’s annual budget.
“It is observed that around 11 per cent of the budget of Jammu and Kashmir is used for Police. Such expenses on policing being unavoidable, leave limited space for spending on development and welfare projects,” she stated. The high expenditure on the police force has historically constrained the region’s ability to invest in crucial development and welfare initiatives, according to the speech.
To address this issue, the Union Government has allocated Rs 12,000 crore in the annual budget to cover the salary, pension, and other operational costs of the Jammu and Kashmir Police. This shift in financial responsibility is aimed at freeing up significant resources for the Union Territory’s development projects. Additionally, a special grant of Rs 5,000 crore will be provided as additional central assistance in the current financial year.
“With this unprecedented assistance of Rs 17,000 crore, the fiscal deficit to GDP ratio will be 3.0 per cent in the FY 2024-25, well within the target. This assistance will lead to a complete improvement in the fiscal position, enabling the Government of Jammu and Kashmir to correct the legacy of financial challenges and work towards fulfilling the developmental needs and aspirations of the people, while maintaining stable fiscal health,” Sitharaman added.
Sections in the media had already reported that the Finance Ministry has approved the idea of the Jammu and Kashmir Police budget to be routed through MHA on the lines of Delhi Police. It was justified by the argument that the police force would be modernised.
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