Sinha announces Rs 28,400 crore scheme for J and K industrial growth
The Central government has approved a new industrial developmental scheme for Jammu and Kashmir. The new scheme is expected to create a spurt in employment generation and create as many as 4.5 lakh jobs in various sectors being targeted. The details of the scheme were given out at a press conference by Lieutenant Governor Manoj Sinha on Thursday in Jammu.
The scheme will provide a major push to the region's economy and provide create new avenues of employment, Sinha said. Jobs will be created in both manufacturing and service sectors. The emphasis will now be on job creation, skill development and sustainable development by attracting new investment and nurturing the existing ones.
The scheme has been approved with a total outlay of Rs. 28,400 crore upto the year 2037. Under the new policy, capital investment incentive will be available.
As part of the new incentives, capital Interest subvention at the annual rate of 6% for a maximum of seven years on loans up to Rs. 500 crore for investment in plant and machinery (in manufacturing) or construction of building and all other durable physical assets (in service sector).
There will be GST linked incentive and it will be based on gross GST. Working capital interest incentive will be available to all existing units at the annual rate of 5% for up to five years.
Earlier schemes also offered incentives but the overall financial outflow was much lesser than the new scheme. Whereas, the earlier schemes have provided about Rs 1,120 crores in all these years, this new scheme shall provide an outlay of Rs 28,400 crores, he said.
The proposed scheme is likely to give direct and indirect employment to about 4.5 lakh people.
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