Omar presents Rs 1,12,310 cr Budget in Assembly

Jammu, Mar 7: With a focus on the “poorest of the poor”, women and vulnerable social groups, Chief Minister Omar Abdullah on Saturday presented a Rs 1.12 lakh crore budget for Jammu & Kashmir Union Territory in the Legislative Assembly for the financial year 2025-26. This was after a gap of seven years that J&K’s budget was presented in its Assembly.
Presenting the budget, Chief Minister Omar Abdullah, said the total net budget estimates for the fiscal year 2025-26 are Rs 1,12,310 crore, excluding the provision for ways and means of advances and overdraft.
“The expected revenue receipts are Rs 97,982 crore and capital receipts are Rs 14328 crore,” he said.
Omar Abdullah, who became the first Chief Minister J&K Union Territory to present a budget, said the revenue expenditure is estimated to be Rs 79703 crore and capital expenditure to be Rs 32607 crore.
Giving details about break-up of budget funding, CM Omar said the Union Territory’s own revenue and non-revenue tax is estimated to be around Rs 31905 crore.
“In addition to this, Rs 41000 crore is to flow as central assistance and Rs 13522 crore as centrally sponsored schemes/ Prime Minister’s Development Programme Development Programme to the Union Territory of Jammu and Kashmir,” he said.
Omar said the tax/GDP ratio is projected at 7.5% for 2025-26. “Fiscal deficit for the year 2025-26 is estimated to be 3.0%. This is substantially lower than 5.5% in 2024-25 (RE),” he said.
He said the GDP for the year 2025-26 has been projected at Rs 2, 88,422 crore, which shows a growth of 9.5 % over the previous year.
In the budget, CM Omar tried to reach out to the poorest of the poor categorized as Antyodaya Anna Yojana (AAY), women and vulnerable social groups by announcing freebies and initiatives for them
The CM announced 200 units of free electricity to all AAY population of Jammu & Kashmir through PM’s Surya Ghar Muft Bijli Yojana.
“To provide financial relief and energy security to the most vulnerable, I propose to provide 200 units of free electricity per month to all Antyodaya families in Jammu & Kashmir. Integrated with the PM Suryaghar Bijli Yojana, this initiative will enable the installation of grid-connected solar systems, generating the required power and eliminating electricity bills,” he said.
He said an investment of RS 750 crore would be made in the scheme over five years. “This step will also reduce AT&C losses and promote sustainable energy,” he said.
The CM also announced 10 kg free ration per person to all AAY beneficiaries starting April 1, 2025.
“I propose free ration of 10 kg per person to all AAY beneficiaries starting April 1, 2025, ensuring enhanced nutritional support for the most vulnerable,” he said.
The CM also proposed enhancement of pension of 10,07,324 for old-aged persons, widows, divorcees, and specially abled individuals.
As per revision proposed by the government, Rs 1250 per month for persons below 60 years of age, Rs 1500 per month for persons aged between 60 and below 80 years and Rs 2,000 per month for persons aged 80 years and above.
CM Omar announced enhancement of financial assistance under the Marriage Assistance Scheme from Rs 50,000 to Rs 75,000 for AAY category girls.
“This increase aims to provide greater financial relief to underprivileged families. Moving forward, we will streamline the scheme’s implementation and ensure adequate budget allocation to broaden its reach and impact,” he said.
The CM also announced that all women in J&K will be granted free ridership in government-owned public transport, including e-buses.
“I propose, starting 1st April, all women in Jammu & Kashmir will be granted free ridership in government-owned public transport, including e-buses, “he said.
The CM also announced that there will be no stamp duty on properties gifted to blood relatives.
“I propose reducing the stamp duty on property gifted to blood relatives to zero, benefiting families by encouraging legal documentation and reducing inheritance disputes,” he said, adding that currently, the stamp duty for such transactions varies from 3% to 7%, which discourages formal registration.
The CM announced that the Government is establishing a Rs 39 crore Disaster Mitigation Fund, the first dedicated fund for prevention, early warning systems, and preparedness. “Recognizing the rising threats of Glacial Lake Outburst Floods (GLOFs) and landslides, our Government is taking proactive measures to protect vulnerable communities and infrastructure. I propose a Rs 15 crore allocation for GLOF risk monitoring, early warning systems, and mitigation strategies,” he said.
The CM also proposed to institute the Chief Minister’s Awards to recognise and reward exemplary efforts by field functionaries in reducing Aggregate Technical & Commercial (AT&C) losses and conducting energy audits.