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J&K

J&K govt enforces austerity measures, restricts official expenditure

kashmirmagazine
Last updated: May 23, 2026 2:40 pm
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Srinagar, May 23 (KNS): The Jammu and Kashmir government has announced a series of austerity measures for the financial year 2026-27, including a ban on official dinners and restrictions on purchase of new vehicles, foreign travel and creation of posts, officials said on Saturday.

The measures were issued through Government Order No. 198-F of 2026 dated May 22 by the Finance Department as part of efforts to enforce fiscal discipline and rationalise expenditure.

According to the order, departments have been directed to avoid holding seminars, conferences and workshops outside the Union Territory unless unavoidable. Conducting official meetings and events in private hotels and commercial venues has also been prohibited, with departments asked to use government infrastructure instead.

The government has imposed a ban on official lunches, dinners, receptions and hospitality events, except those hosted by the Lieutenant Governor and the Chief Minister.

Purchase of new government vehicles has also been restricted and will be allowed only in exceptional circumstances after approval from the Finance Department. Departments have been directed to ensure pooling and optimum use of existing vehicles to reduce fuel and maintenance expenses.

The order said foreign travel by officials would require specific approval from the Finance Department, while officers travelling within the country have been asked to travel in economy class irrespective of entitlement. Departments have also been advised to rely more on video conferencing to cut travel expenditure.

To reduce operational costs, departments have been instructed to minimise use of generators, air-conditioning systems, lighting and official vehicles. Offices have also been directed to reduce paper consumption and shift towards digital governance practices.

The Finance Department has further barred hiring of new office spaces without prior approval and restricted procurement of furniture except for newly established offices. Old furniture and condemned vehicles are to be auctioned.

In another major decision, the government said no new posts would be created, while vacant posts lying unfilled for more than two years could be surrendered. Hiring of consultants, outsourcing agencies and contractual staff will also require prior approval and assessment of necessity.

The order also prohibits fresh financial commitments for schemes not included in the approved Budget Estimates for 2026-27 and restricts spending on non-priority works under the Capex Budget unless specifically cleared by the Finance Department.

Administrative Secretaries have been made responsible for ensuring compliance with the austerity measures, while Finance Directors and Financial Advisors have been asked to submit periodic reports to the Finance Department, officials said.(KNS). 

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