Srinagar, March 11 Jammu and Kashmir People's Conference (PC) President and Handwara MLA, Sajad Lone, launched a sharp critique of the recently presented state Budget, calling it a "politically motivated exercise" that lacks financial viability, a statement by the PC said on Tuesday.
Speaking in the Assembly, Lone asserted that Budget formulation is a strategic and complex process typically overseen by experienced officers, but this Budget raises significant concerns regarding its economic soundness.
Commenting on its political underpinnings, the J&K People's Conference President said, "When I evaluate this Budget within a political framework, I see that it echoes the 'Naya Kashmir' narrative and discourse championed by Prime Minister Modi and the BJP, which has been aggressively pushed post-August 5, 2019."
He pointed to contradictions in the government's approach, remarking, "These are the same schemes and policies that were once criticised but are now being hailed as transformative. The very Prime Minister's Development Package (PMDP) for which we were vilified has suddenly become praiseworthy. Everything the ruling party has dismissed over the past five years is now being glorified. Both NC and BJP are competing in their praise of Modi Ji, leaving us confused about which endorsement is more enthusiastic."
To underscore the failure of past promises, Lone presented the National Conference's (NC) manifesto in the Assembly, reading aloud its commitments, including 200 free electricity units, job creation and social welfare benefits, all of which remain unfulfilled.
He asserted, "If I were to present this manifesto as evidence, as one does in a court, it would be clear that there is no mention of free electricity units being restricted to Antyodaya Anna Yojana beneficiaries. The promise was unconditional."
Backing his arguments with financial analysis, Lone outlined the staggering cost required to fulfill these commitments.
"The ruling party's promises alone require Rs 3,000 crore for one lakh jobs, Rs 2,200 crore for the regularisation of daily wagers, Rs 760 crore for providing 12 gas cylinders per household, and Rs 1,000 crore for implementing the Employment Guarantee Act."
Adding additional expenditures, he noted, "The total would rise to Rs 12,000 crore per year, amounting to Rs 60,000 crore over the next five years."
He also emphasised, "On top of this, the state Budget includes a one-time settlement of electricity bills, interest subvention on farmers' loans, establishment of preservation parks, plantation of medicinal trees, and the creation of six 'dream destinations'. This pushes the projected cost to nearly Rs 65,000 crore over five years. My question is simple -- what is the financing plan? Where is this money coming from? I challenge you to explain the economic science behind it."
Lone questioned the state Budget's capital expenditure figures, highlighting discrepancies.
"For 2025-26, the capital expenditure outlay is Rs 32,000 crore, while for 2024-25, it was Rs 36,000 crore, later revised to Rs 32,000 crore."
He noted that the numbers indicate stagnation or decline.
"If the revised estimate is lower than the initial one, the rule of thumb is that the government lacks the absorption capacity for higher spending. If expenditure is shrinking at the macro level, how can it increase at the micro and sectoral levels? The numbers simply do not add up."
Turning to revenue generation, Lone raised alarm over the dramatic increase in asset monetisation.
"The Budget shows asset monetisation rising from one per cent in 2024-25 to seven per cent now. What assets are being monetised? This House has a right to know, as seven per cent of the Budget is a massive sum."
He also criticised the one per cent tax hike, saying, "This amounts to an additional burden of Rs 1,000 crore, which will be extracted from the pockets of ordinary citizens. The impact will be most severe on the lowest 30 per cent of the population."
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