J&K Government Increases MLA Constituency Development Fund to ₹4 Crore, Removes 90-Day Restriction

By JV Team

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JK Government

In a significant move aimed at empowering grassroots development, the Jammu and Kashmir Government has raised the Constituency Development Fund (CDF) allocated to MLAs from ₹3 crore to ₹4 crore annually, effective from the current financial year 2025–26. Alongside this enhancement, the government has also scrapped the controversial 90-day timeline that previously required MLAs to recommend developmental works within the first three months of the financial year.

MLAs Welcome Enhanced CDF and Relaxed Utilization Timeline

The decision was met with broad approval across party lines. Legislators from both ruling and opposition parties had previously expressed strong opposition to the clause linking CDF recommendations to a 90-day deadline, claiming it restricted their ability to address local needs throughout the year.

Earlier, the clause mandated that MLAs must suggest projects up to the annual financial ceiling within 90 days of the new fiscal year’s commencement. Many argued this approach risked prematurely exhausting funds and leaving them unable to respond to community demands during the remaining nine months.

Official Order Issued by Finance Department

A formal notification released by the Finance Department, signed by Principal Secretary Santosh D. Vaidya, confirmed the fund hike and guideline revision. It stated:

“The Constituency Development Fund (CDF) of the MLAs has been enhanced from ₹300 lakhs to ₹400 lakhs per annum with effect from financial year 2025–26. The clause requiring MLAs to recommend works up to the annual ceiling within 90 days of the financial year’s commencement has been omitted.”

This move aligns the CDF guidelines more closely with the Members of Parliament Local Area Development Scheme (MPLADS), offering legislators greater flexibility to plan and execute developmental works year-round based on evolving needs.

Parties United in Opposition to Earlier Clause

The now-withdrawn guideline had previously stirred discontent across the political spectrum. Legislators from the Bharatiya Janata Party (BJP), National Conference (NC), Congress, and the Communist Party of India (Marxist) had jointly called for the withdrawal of the 90-day clause.

Prominent BJP leaders including Rajiv Jasrotia, Pawan Gupta, and RS Pathania, along with PCC(I) chief Tariq Hamid Karra and CPM leader M.Y. Tarigami, criticized the policy as counterproductive. They emphasized that the CDF was meant to be a responsive development tool and not a fund to be exhausted within a strict timeline.

Demand for CDF Allocation from October 2024 Still Pending

While the government has enhanced the CDF from April 1, 2025, several legislators have demanded that funds be allocated retroactively from mid-October 2024, the period when they officially took oath following the September–October Assembly elections.

They argue that since they began serving as elected representatives from October 2024, they should be entitled to proportional CDF allocation for the remaining five-and-a-half months of FY 2024–25. However, the government has not yet announced any decision regarding that period.

Omar Abdullah Delivered on Budget Promise

Chief Minister Omar Abdullah, who also oversees the Finance and Planning & Development Departments, had previously pledged during the March–April 2025 Budget Session that the CDF would be increased. This latest decision fulfills that commitment, reinforcing the government’s focus on empowering MLAs to respond more effectively to their constituents’ needs.

MLAs Stress Year-Round Need for Development Funds

MLAs have long maintained that developmental demands from local communities arise continuously, not just during the initial months of a financial year. They argued that allocating the entire fund in the first quarter would render them powerless to support urgent community needs arising later.

By removing the rigid timeline and increasing the fund, the government has addressed both these concerns. Legislators can now pace their spending and prioritize projects as they engage with their constituencies over the year.

The enhancement of the Constituency Development Fund and removal of the restrictive timeline marks a pivotal shift toward flexible and responsive governance in Jammu and Kashmir. It empowers MLAs to better serve the dynamic needs of their constituencies and ensures that developmental efforts are not bottlenecked by bureaucratic constraints.

As the political landscape continues to evolve post-elections, this decision also sets a positive precedent for other states seeking to make constituency-level development more effective and citizen-centric.

JV Team

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