News Brief

Jammu-Kashmir Government Focuses On Fiscal Prudence, Announces Austerity Measures To Curb Expenditure

Arjun BrijJan 13, 2025, 10:40 AM | Updated 10:40 AM IST
J&K CM Omar Abdullah

J&K CM Omar Abdullah


The Jammu and Kashmir (J&K) government has introduced a series of austerity measures to ensure fiscal prudence and reduce expenditure for the financial year 2024-25.

These measures, detailed in a three-page order by Principal Secretary (Finance Department) Santosh D Vaidya, aim to streamline spending across departments and avoid unnecessary expenditures.

The order imposes a complete ban on meetings in private hotels and discourages exhibitions or fairs outside the Union Territory. It also bans the creation of new posts and mandates the surrender of posts vacant for more than two years.

Posts that have remained vacant for more than two years should be identified for surrender. Such posts should not be revived except under rare and unavoidable circumstances and after seeking clearance from the finance department, the order stated.

To regulate revenue expenditure, the order stipulates that during the last quarter of the financial year, spending should be capped at 30 per cent of the budget allocation, with March limited to 15 per cent.


A 10 per cent economy cut has been imposed on budget allocations for activities such as leave travel concession (LTC), advertisements, publicity, hospitality, camps, and seminars.

Official dinners and lunches are restricted, except those hosted by the lieutenant governor or chief minister. Government buildings should be utilised for meetings instead of private venues.

Travel expenditures have also been curtailed. Officers are instructed to travel economy class, with international travel requiring prior approval from the finance department. Video conferencing is encouraged to minimise travel.

The purchase of new vehicles is discouraged, with exceptions only for critical operational needs, subject to a 20 per cent reduction against condemnation.

The local funds available with various departments, universities, authorities, and agencies will be subject to these austerity measures, the order emphasised.

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