J & K Economy To Grow 5.82% In 202526: Economic Survey

(MENAFN- Kashmir Observer) Srinagar- Jammu and Kashmir's economy is projected to grow by 5.82 per cent in real terms in 2025–26, indicating a steady post-pandemic recovery and improved fiscal management, according to the Economic Survey Report 2025–26 tabled in the Legislative Assembly on Thursday.

The report estimates that the Union Territory's nominal Gross State Domestic Product (GSDP) will grow by 8.89 per cent during 2025–26, taking the overall size of the economy to nearly Rs 2.86 lakh crore.

ADVERTISEMENT

Between 2019–20 and 2024–25, Jammu and Kashmir recorded a compound annual growth rate (CAGR) of 4.47 per cent in real terms, reflecting sustained recovery after the pandemic-induced slowdown, it said.

Per capita income is estimated at Rs 1,68,243 in 2025–26 and has shown a consistent upward trend over the past five years, growing faster than in several northern states and Union Territories, the survey noted.

The tertiary sector accounted for the largest share of Gross State Value Added (GSVA) at 61.02 per cent, followed by the primary sector at 20.45 per cent and the secondary sector at 18.52 per cent.

While agriculture and allied activities continue to be a key source of employment, growth in industry, infrastructure and services has supported greater economic diversification, the report said.

On the fiscal side, the UT recorded improved revenue mobilisation and expenditure management, with revenue receipts of Rs 13,521 crore realised up to November 2025, driven mainly by higher GST, excise and non-tax revenues, including power revenues.

Capital expenditure remained focused on infrastructure creation, asset development and completion of ongoing projects, the survey said, adding that the increased use of digital platforms such as BEAMS and GeM has strengthened governance and financial transparency.

MENAFN05022026000215011059ID1110699586