Union Budget 2026-27: Jammu and Kashmir Receives ₹43,290 Crore Allocation

The Union Finance Minister, Nirmala Sitharaman, announced a significant allocation of ₹43,290.29 crore for Jammu and Kashmir in the Union Budget for the fiscal year 2026-27. This allocation marks an increase of nearly ₹2,000 crore compared to the previous financial year.

According to official budget documents, Jammu and Kashmir is set to receive total transfers amounting to ₹43,290.29 crore for the upcoming fiscal year.

For the current financial year, the Union Territory’s assistance has been revised to ₹41,340 crore, reflecting a notable increase from the budgeted amount of ₹41,000.07 crore, indicating a rise of ₹340 crore.

In the proposed budget for 2026-27, the Centre has designated ₹42,650 crore as central assistance to address Jammu and Kashmir’s resource deficit. Additionally, ₹279 crore has been allocated as grants for the Union Territory Disaster Response Fund, as per the official documents.

The allocation also includes ₹259 crore as equity support for the Jhelum-Tawi Flood Recovery Project and ₹101 crore to bolster capital expenditure within the Union Territory.

This enhanced allocation comes at a crucial time as Jammu and Kashmir heavily relies on central assistance for developmental projects and disaster management initiatives.