JK's economic recovery has begun, revival to follow: Drabu

Wide-ranging fiscal and welfare measures announced in the Jammu and Kashmir budget are aimed at setting its sluggish economy on the path of revival and recovery, state Finance Minister Haseeb Drabu said today.
"It took this government three years to restore the rotten fiscal system, put in place a sustainable public expenditure policy and set the states economy on the path of steady recovery and revival," Drabu said while winding up the discussions on the budget proposals in the Legislative Council.
He said the state has landed in a serious fiscal crisis because of various reasons like protracted political turmoil, 2014 floods, 2016 disturbances, demonetisation and GST.

"When I talk of fiscal crisis, let me make it clear, I am not talking about the government finances, but the entire economic system involving every section of the society," he said.
The only way to set the state's economy on the recovery path is to enhance autonomous public expenditure, which is the basic theme of this budget, he added.
He said the fundamental intent of making it a stakeholders' budget is to generate income across various levels of society, pump public money into the system and push economic revival through a sustained effort.

"That is why we have announced various measures in this budget so that money keeps continuously flowing and circulating in the system...," Drabu said.

Defending his decision to extend various financial benefits to government employees, he said there are 4.5 lakh staffers and every employee has a family of at least five persons.
"That means that a population of around 25 lakh souls is directly linked to the government. If they spend, the economy improves, if they save money, it also helps," he said.
He said the focus of the renewed fiscal policy is to restore dignity of the state and make it relevant for the times.
"This is perhaps the first budget that is not about the government departments but the stakeholders encompassing every section of the society including poorest of the poor, marginalised, employees, traders, industrialists, agriculturists, women, girls, students, youth and destitute.

"And I am contended that I have achieved the objective to a significant extent," he said.