State Studies · Jammu and Kashmir
Economy of Jammu and Kashmir
Overview
The economy of Jammu and Kashmir is estimated to have a gross state domestic product (GSDP) of about ₹3.16 lakh crore (US$33 billion) in FY 2026-27 at current prices. Real GSDP is estimated to grow 9.5% over the previous year. In FY 2025-26, the state's service sector contributed to 61% of GSDP, followed by agriculture at 20% and industry at 19%. Tourism, horticulture, and handicrafts are the main sources of private income; tourism contributes about 7% to the economy. The Kashmir Valley leads in apple production, as well as walnuts and cherries. Saffron cultivation is a major livelihood source for 20,000-25,000 families, with an annual production of 13-14 tonnes. The government relies heavily on central grants, estimated at about 65% of revenue receipts in 2026-27.
Source: Wikipedia — Economy of Jammu and Kashmir (CC BY-SA)
Key concepts
How Economy of Jammu and Kashmir connects to the ideas, people and events around it.
Jammu and Kashmir is a region administered by India as a union territory consisting of the southern portion of the larger Kashmir region, which has been the subject of a border dispute between India and Pakistan since 1947 and between India and China since 1959.
A fiscal year is a one-year time interval whose beginning and end may be shifted with respect to the calendar year .
The Kashmir Valley, also known as the Vale of Kashmir, is an intermontane valley or basin in the northern part of Indian-administered Jammu and Kashmir.
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Questions about Economy of Jammu and Kashmir
What is Economy of Jammu and Kashmir?
The economy of Jammu and Kashmir is estimated to have a gross state domestic product (GSDP) of about ₹3.16 lakh crore (US$33 billion) in FY 2026-27 at current prices. Real GSDP is estimated to grow 9.5% over the previous year. In FY 2025-26, the state's service sector contributed to 61% of GSDP, followed by agriculture at 20% and industry at 19%.
What are the key concepts related to Economy of Jammu and Kashmir?
The main concepts connected to Economy of Jammu and Kashmir include Jammu and Kashmir (union territory), Fiscal year, Kashmir Valley. Each is linked on the map above with its own summary.
Which exams cover Economy of Jammu and Kashmir?
Economy of Jammu and Kashmir is part of State Studies, which appears in the syllabus of JKPSC.