25 October, 2020

No Sign Of Respite As Security Lockdowns, COVID And Militancy Keep Robbing Kashmiris Of Revenue

Amid unrest, pandemic and internet shutdowns, it’s hard times for the economy of the former state. Entrepreneurship and livelihood are taking the brunt.

Photograph by Umer Asif
No Sign Of Respite As Security Lockdowns, COVID And Militancy Keep Robbing Kashmiris Of Revenue
outlookindia.com
2020-08-01T12:07:02+05:30

On January 11, 2018, when the then finance minister of undivided Jammu and ­Kashmir, Haseeb A. Drabu, presented the annual budget, little did anyone realise that it would be the last one for the state. One of the key highlights was a focus on logistics. “The big idea,” he said, “is to move the economy to a frontier of lower logistics costs. The only way to reduce transactional and inventory management costs, which are hurting our businesses, is to bring down the logistics costs to sub 10 per cent levels.” The figure of 25-30 per cent for the state was unusually high.

According to RBI data, the state’s growth rate fluctuated between a negative 3.2 per cent and 17.7 per cent in the past few years. The economy reached a stage where industry and livelihoods either collapsed or were on the verge of it.

Since August 2019, when Article 370 was abrogated and the state was ­divided into two Union territories, the region incurred an estimated loss of Rs 40,000 crore, as per preliminary figures provided by the Kashmir Chamber of Commerce...

unsub

THIS ARTICLE IS PRICELESS...

To read this piece, and more such stories in India's most exciting and exacting magazine, plus get access to our 25-year archives goldmine, please subscribe.


Latest Magazine

November 02, 2020
content

other articles from the issue

articles from the previous issue

Other magazine section