The Union Government has proposed an allocation of ₹41,000.07 crore to the Union Territory of Jammu & Kashmir for the financial year 2025-26, as part of the central fund transfers for Union Territories.
According to the Union Budget 2025-26, the budgetary support for J&K remains unchanged compared to the previous year, with no increase in central assistance. Out of the total allocation, ₹40,619.30 crore has been designated as central assistance to bridge the Union Territory’s resource gap.
As per the budget documents:
- ₹279 crore is allocated as grants for the Union Territory Disaster Response Fund.
- ₹101.77 crore has been earmarked for resource gap funding for infrastructure projects.
Notably, the financial assistance for J&K in the ongoing fiscal year (2024-25) was revised from ₹42,277.74 crore to ₹41,000.07 crore, reflecting a reduction in central support.
Jammu & Kashmir Police Budget for 2025-26
The Government of India has allocated ₹9,325.73 crore to the Jammu & Kashmir Police, which operates under the Union Home Ministry’s administrative control.
As per the Ministry of Home Affairs’ (MHA) demand for grants, the allocation includes:
- ₹8,897.72 crore for revenue expenditure.
- ₹428.01 crore for capital expenditure.
These funds are intended to cover administrative costs, law enforcement operations, and traffic management across J&K.
Read also: J&K Government to Prepare Database of Casual and Daily Wage Workers: A Step Towards Regularization
J&K Police Budget Under Central Control
Since 2024-25, the budget for J&K Police has been included in the Union Budget, a move described by the Central Government as financial assistance to the Union Territory. However, opposition parties argue that this signifies continued central control over J&K’s policing affairs.
The Jammu & Kashmir Reorganisation Act, 2019, granted the Union Government legislative authority over “Public Order” and “Police”, thereby restricting the J&K Legislative Assembly from making laws in these domains.
With the Union Budget 2025-26 reaffirming central financial oversight, it remains to be seen how these allocations will shape the future governance and administration of Jammu & Kashmir.