Srinagar I March 07, 2025
Jammu and Kashmir has emerged as a promising hub for industrial growth, receiving an impressive 8,306 new business proposals worth Rs 1.63 lakh crore in the financial year 2024-25. According to official documents, these investments are projected to generate employment opportunities for approximately 5.9 lakh people, marking a significant step toward economic revitalization in the Union Territory.
Unprecedented Growth in Proposals
The influx of 8,306 industrial proposals reflects a surge in investor confidence, driven by a combination of government incentives and the region’s strategic potential. This development follows a period of steady economic progress, with 334 industrial units becoming operational in FY 2024-25 (up to December 2024) alone. These units, supported by an investment of Rs 2,977 crore, have already employed 8,443 individuals. Since 2019, a total of 1,984 industrial units have commenced operations, bringing in Rs 9,606.46 crore and creating 63,710 jobs.
Economic Impact and Job Creation
The Rs 1.63 lakh crore investment is poised to transform Jammu and Kashmir’s economic landscape. With an expected 5.9 lakh jobs on the horizon, the proposals span various sectors, promising to bolster employment and reduce dependency on traditional industries. This aligns with the region’s projected Gross State Domestic Product (GSDP) growth of 7.06% for 2024-25, with the nominal GSDP estimated to reach Rs 2.65 lakh crore.
Boosting Local Employment
The anticipated job creation is expected to have a ripple effect, uplifting local communities and providing sustainable livelihoods. Initiatives like the Holistic Agriculture Development Plan, which involves a Rs 5,013 crore investment over five years, further complement these efforts by targeting 2.88 lakh jobs and adding Rs 28,000 crore to the GSDP.
Tourism and Industry: A Dual Growth Engine
Alongside industrial growth, Jammu and Kashmir’s tourism sector has witnessed a record-breaking 2.36 crore tourist arrivals in 2024, including 65,000 foreign visitors. This all-time high underscores the region’s dual potential as a tourism and industrial powerhouse, enhancing its appeal to investors.
Government’s Role in Facilitating Growth
The Union Territory’s administration has played a pivotal role in attracting these investments through proactive policies and infrastructure development. The Economic Survey Report 2024, tabled in the Jammu and Kashmir Assembly on March 06, 2025, highlights a robust economic outlook despite a slight inflation rise from 4.3% in 2023 to 4.5% in 2024. Chief Minister Omar Abdullah, who also serves as the finance minister, emphasized the government’s commitment to fostering a conducive environment for business.
Revenue and Expenditure Insights
The report also noted that revenue of Rs 15,737.80 crore was realized in the first nine months of FY 2024-25, achieving 77% of the previous year’s total of Rs 20,333.55 crore. Revenue expenditure stood at Rs 49,828 crore, or 75% of FY 2024’s Rs 66,621 crore, reflecting disciplined fiscal management.
A Promising Future Ahead
With robust economic growth, increased investment, and record tourism figures, Jammu and Kashmir is on track to redefine its economic narrative. The Rs 1.63 lakh crore in industrial proposals not only signifies trust in the region’s potential but also sets the stage for long-term prosperity and employment generation. As these projects materialize, the Union Territory is poised to become a key player in India’s industrial and economic framework.