Srinagar, May 23: The Government of Jammu and Kashmir has issued a series of austerity measures for the financial year 2026-27 aimed at ensuring fiscal prudence, expenditure rationalization, and economy in government spending.
According to Government Order No. 198-F of 2026 dated May 22, issued by the Finance Department, all departments and government agencies have been directed to strictly follow cost-cutting measures with immediate effect.
The order imposes a complete ban on holding official meetings, conferences, and functions in private hotels and commercial venues, directing departments to use government buildings and conference halls instead. Official dinners, lunches, receptions, and similar hospitality events have also been prohibited except those hosted by the Lieutenant Governor and the Chief Minister.
The government has strongly discouraged the purchase of new vehicles. Replacement of condemned vehicles will only be allowed in exceptional cases with approval from the Finance Department and subject to a 20 percent reduction in fleet strength. Departments have also been instructed to auction condemned vehicles before seeking replacements.
Under the new guidelines, international travel by officials will not be permitted without specific approval from the Finance Department, while officers travelling within the country will have to travel in economy class irrespective of entitlement. Departments have also been advised to prioritize video conferencing and virtual meetings to reduce travel expenditure.
The order further directs departments to minimize spending on ceremonial events, souvenir printing, publicity material, branding exercises, and other non-essential activities. A “digital-first approach” has also been emphasized to reduce paper consumption and encourage maximum use of e-Office and digital communication platforms.
The government has also barred creation of new posts and restricted hiring of consultants, outsourcing agencies, and contractual support services unless deemed absolutely necessary.
Additionally, the Finance Department said no fresh financial commitments will be allowed on schemes or proposals not included in the approved Budget Estimates for FY 2026-27.
The order, issued by Finance Commissioner (Additional Chief Secretary) Shailendra Kumar, states that administrative secretaries will be personally responsible for ensuring strict compliance with the austerity measures.
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