Financial losses caused due to Kashmir unrest between July 8 to November 30 are estimated over Rs16,000 crore, says the Economic Survey 2016
Jammu: Jammu and Kashmir suffered losses to the tune of over Rs16,000 crore during the five-month long unrest in the Kashmir Valley due to complete halt of economic activity coupled with loss of property worth crores of rupees.
“Losses caused due to the unrest from July 8 to November 30, 2016 are estimated at more than ₹ 16,000 crore," Economic Survey 2016 report tabled by minister for finance Haseeb Drabu in the Jammu and Kashmir Assembly on Tuesday stated.
The chapter “Economies of Uncertainty and Conflict" of the report said that in 2016, the civil strife caused tremendous miseries, loss of life, complete halt of economic activity in the Valley coupled with loss of property worth crores of rupees.
“The scraping of internet services, mobile and phone services for long spells during the turmoil made communication in the state very difficult. Hartals, bandhs, stone pelting, curfews and restrictions immobilised life in all the 10 districts of the Valley," it said.
The medical services were badly affected. Chronic patients suffering from cancer, heart diseases and those requiring dialysis, continue treatment and check up had to suffer a lot.
Lack of primary treatment resulted in death of some of the patients, it said, adding that security-related expenditure is over and above the losses caused due to the 2016 unrest.
On the issue of macro-economics costs, it said the conflict has reduced per capita GDP growth, FDI inflow, exports and trade flow in the state.
“It has reduced domestic investment and savings, redirected public expenditure to security-related expenditure and reduced tourist inflow, tourism receipts and demand for transportation," it said. The number of tourist who visited the Valley in 2015-16 stood at 6,23,932 including 2,20,490 Amarnath yatris.
“The tourist season had last year started in April and was in full swing up to 7 July. The remaining about four months remained completely tense and registered closure of all activities due to turmoil resulting in almost zero arrival of tourists in the Valley," it said.
The disappearance of tourist in the Valley during four peak months resulted in loss of business to hoteliers, restaurants, houseboats, handicrafts, poniwallas, transporters, shikara walla and so on, it said adding the revenue loss in the second quarter of 2016-17 was of Rs751.97 lakh (80%) compared to revenue realisation of Rs936.89 lakh in Q2 of 2015-16.
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