Kashmir’s economy suffers body blow, 6,400 crore loss in 49 days

Tourist and other business activities in Kashmir have come to a halt for the past 49 days after protests erupted in Kashmir following the killing of Hizbul Mujahideen commander Burhan Wani. Shops, business establishments, private offices and petrol pumps have been shut as the separatists groups have called for a complete strike to protest the civilian deaths in the violence after Wani’s killing. 

The separatists have announced periods of relaxation, but they are usually in the night which does not help the traders who allege that there have been instances of masked youths or even security forces forcing the shopkeepers to down the shutters.  “Kashmir is suffering losses of about Rs 135 crore daily. This estimates to over Rs 6,400 crore so far,” Mohammad Yaseen Khan, president Kashmir Traders and Manufacturers Federation (KTMF), said here. 

Khan, however, said these figures were based on the daily business six months ago. He said the trader community wants the Kashmir issue to be resolved permanently The state government has suffered revenue losses close to Rs 300 crore in the past oneand-a-half months. “The collection of levies and taxes has come down drastically since the unrest began. The sales tax collection has been the worst hit,” an official in the Finance department said. 

Similarly, tourism, considered to be the mainstay of Kashmir’s economy, has also come to a standstill. “People are turning away from Kashmir due to the unrest,” a tourism player said here. He said that hotels and houseboats were empty and famous tourist spots were looking desolated. An official of the tourism department, who did not wish to be named, admitted that tourism in the valley was on decline. “What can we do? The department is helpless. We cannot go outside the state and ask people to visit the valley,” he said.