Economic Revitalization?

On August 5th 2019, the Indian government through a presidential order revoked Article 370 of the Indian Constitution. It also demoted and bifricated the Jammu-Kashmir state into two union territories. This unilateral decision, without consultation with any constitutions in Kashmir is touted as a measure to revive the economy of Kashmir.

The editor of Ziraat Times, a publication dedicated to covering the business and economy of Jammu and Kashmir, posted an email to Facebook that we are now reproducing below.

Dear reader, based on the information given by the editor of the Ziraat times, we ask you to decide for yourself if the Indian government’s decision to remove article 370- something touted as a means of revitalizing the economy of the Kashmir valley- is valid.

 

“Hundreds of business startups are crumbling and closing down in Kashmir due to Internet closure, over two months of phone ban and uneasy operational environment. With winter round the corner, likely closure of Srinagar-Jammu highway for prolonged periods is likely to aggravate the situation. Dozens of businesses I have come to know and interact with through Ziraat Times and J&K Economic Conclave have accumulated liabilities, lost clients and staff and become unviable. Ziraat Times itself has lost business and non availability of Internet has rendered its normal operations impossible. Several people, especially youngsters, who had left their good jobs abroad or within India and had invested their hard earned money, are today frustrated and depressed. Online banking transactions and payments have been made impossible due to Internet ban. For pressing payments when businesses and individuals seek help from friends and relatives outside Kashmir, they face a dead end, for OTPs can’t be accessed on blocked messaging services and that few people can access OTPs through emails outside Kashmir. This situation is likely to take thousands of entities out of business in Kashmir. Their bank loans are likely to turn bad. J&K Bank is, particularly, faced with burgeoning “non-performing assets” situation. There are likely to be collateral sell offs. All the efforts made all these years to create a viable private economic system, outside of the traditional public sector-driven and sustained economy seem to be wasted. It is a bad omen for future.”

-Arjimand Hussain Talib (Facebook Post)

http://www.ziraattimes.com

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