- Six free gas cylinders for AAY families
- Fee waiver for poorest students from Class 9 to graduation
- Scholarships for 6,000 orphans
- Upgradation of healthcare services in GMCs, border areas
- Crop insurance scheme for apples
Jammu, Feb 06: Chief Minister Omar Abdullah on Friday unveiled a Rs 113767 crore budget for the Jammu & Kashmir Union Territory for 2026-27.
Budget Figures
Presenting the Union Territory’s second financial plan in the Assembly, the CM, as per the news agency—Kashmir News Observer (KNO), said the total net budget estimates for the fiscal year 2026–27 are Rs 113767 crore, excluding provisions for ways and means advances and overdraft.
“The total net budget estimates for the fiscal 2026–27 are Rs 113767 crore, excluding the provision for ways and means advances and overdraft,” the CM said.Of the Rs 113767 crore budget, Rs 80640 crore is revenue expenditure and Rs 33,127 crore is capital expenditure.
“Rs 90018 crore and Rs 23749 crore are expected as revenue receipts and capital receipts respectively under the budget estimates for 2026–27,” the CM announced.
He said the Union Territory’s own revenues, both tax and non-tax, are estimated at Rs 31,800 crore.
The CM added that Rs 42752 crore will flow as central assistance and Rs 13400 crore as Centrally Sponsored Schemes to Jammu & Kashmir.
Fiscal Indicators
The CM said the tax-to-GDP ratio is projected at 6.6% for 2026–27. “The tax-to-GDP ratio was projected at 7.5% for 2025–26,” he said.
He said that the fiscal deficit for 2026–27 is estimated at 3.69%.
“The fiscal deficit for 2025–26 was estimated at 2.98%, substantially lower than 5.5% in 2024–25 (RE),” he said.
He added that GDP for 2025–26 had been projected at Rs 288422 crore, showing a growth of 9.5% over the previous year.
“GDP for 2026–27 has been projected at Rs 315822 crore (indicative nominal GDP), which also reflects a growth of 9.5% over the previous year,” the CM said.
Key announcements
The biggest announcement in the budget was the provision of six free gas cylinders per year to all Antyodaya Anna Yojana (AAY) households in Jammu & Kashmir.
“To reduce the household energy burden on vulnerable families, improve health outcomes by discouraging the use of solid fuels, and protect poor households from inflationary pressures, I propose to provide six free LPG cylinders per year to all AAY households of Jammu and Kashmir, covering the poorest of the poor,” the CM announced.
He said the scheme represents direct cost-of-living relief for the most deprived sections.
The CM also announced a full fee waiver for all students belonging to AAY families studying in government schools from Class 9 to 12, who are not covered under any other education-related scholarship scheme.
He further announced a similar fee waiver for undergraduate students from AAY families studying in government degree colleges, provided they are not receiving any other scholarship assistance.
The CM introduced a sponsorship scheme covering 6000 orphan children who have lost both parents or their sole breadwinner, have no stable source of income, and are not receiving benefits under the Mission Vatsalya framework.
“Each child under this scheme will receive a monthly sponsorship of Rs 4000 through Direct Benefit Transfer to support education, nutrition, healthcare, and basic living needs. This initiative reflects our Government’s commitment that no child shall be left behind due to circumstances beyond their control,” the CM said.
He also proposed extending the existing free government transport facility to persons with disabilities, saying the initiative will enable better access to mobility.
The CM announced the purchase of bulletproof vehicles for border areas.
“I also propose the purchase of bulletproof ambulances for border districts, starting with two ambulances for Poonch and Tangdhar in the next financial year,” he said.
He further announced the establishment of two dedicated emergency and accident hospitals, one at Uri and another at Poonch, to strengthen critical healthcare infrastructure in border areas prone to shelling, cross-border incidents, and natural emergencies.
The CM said the government will implement a time-bound action plan for upgrading services in peripheral medical colleges, based on recommendations of a high-level committee already constituted.
He added that the government will roll out a cancer control strategy for J&K in collaboration with NITI Aayog and ICMR.
“I propose to strengthen advanced cardiac care services in Jammu and Kashmir by establishing Cath Labs at Government Medical College, Rajouri, and Government Medical College, Baramulla during 2026–27, at a total cost of ₹30 crore,” the CM said.
He also announced that the government will establish full-fledged Emergency Medicine Departments in all government medical colleges over the next two financial years, to ensure round-the-clock trauma care, rapid emergency response, and improved survival outcomes for accident victims and critical patients.
The CM said his government is actively contemplating a structured incentive scheme for employees posted in such remote and hardship areas, with the objective of improving retention and ensuring equitable access to public services for citizens living in the most difficult terrains. (KNO)
