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Opinion | Economic Comparison Between PoJK & Kashmir: Two Systems, Two Developmental Realities

By : Aatif Kashmiri

News Desk by News Desk
October 17, 2026
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The real measure of governance is not the strength of political slogans but the prosperity it delivers to its people. Jammu and Kashmir’s development journey demonstrates the importance of infrastructure, investment and institutional capacity. Pakistan, instead of using PoK primarily as a political instrument, must prioritise the economic dignity and future of its people. Development, not political rhetoric, should be the true benchmark of progress in every part of Jammu and Kashmir

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The economic comparison between Jammu and Kashmir and Pakistan-occupied Kashmir (PoK) offers an important insight into how governance, development priorities and institutional accountability shape the destiny of a region. Although both territories share geographical, cultural and historical connections, their economic circumstances reflect different administrative approaches and development priorities. While Jammu and Kashmir is witnessing considerable investment in infrastructure, connectivity, tourism and public services, PoK continues to face serious economic challenges, including unemployment, limited industrial opportunities, public dissatisfaction and inadequate utilisation of its natural resources.For decades, Pakistan has projected Kashmir as a central element of its national political narrative. However, the fundamental question remains whether this political emphasis has translated into meaningful economic prosperity for the people living in PoK.

 

A territory cannot be developed through political slogans alone. Its progress must be measured through employment opportunities, educational institutions, healthcare facilities, reliable electricity, modern infrastructure and the standard of living of ordinary citizens.Jammu and Kashmir has made notable progress in strengthening its economic foundations. According to the Jammu and Kashmir Economic Survey 2025-26, the Union Territory’s economy is estimated to reach approximately Rs. 2.86 lakh crore in nominal terms, with an estimated per capita income of Rs. 1,68,243. The economy is projected to register real growth of 5.82 per cent during 2025-26. These figures indicate an expanding economic base and increasing economic activity. Infrastructure development has emerged as one of the important drivers of this progress. Improved road connectivity, railway expansion, tunnels, bridges and urban development projects are transforming accessibility across different parts of Jammu and Kashmir. Better connectivity is not merely about transportation; it creates opportunities for trade, tourism, agricultural marketing, investment and employment. Projects such as the Udhampur-Srinagar-Baramulla Rail Link have strengthened the region’s connection with the wider national economy.

Tourism has also become an important contributor to economic activity. Kashmir’s natural beauty, hospitality, handicrafts and traditional culture attract visitors from across the country and abroad. The development of tourism infrastructure, improved road networks and promotional initiatives has created opportunities for hotels, transport operators, local artisans, traders and small entrepreneurs. Similarly, Jammu’s religious tourism, particularly around Shri Mata Vaishno Devi, contributes significantly to the local economy.Agriculture and horticulture remain equally important. Apple production, saffron cultivation, walnuts, almonds and other agricultural products provide livelihoods to thousands of families. Government initiatives aimed at improving market connectivity, cold-storage facilities, food processing and agricultural modernisation have the potential to strengthen rural incomes further. The handicraft and handloom sectors also continue to provide employment while preserving the region’s cultural identity.

The economic situation in PoK presents a contrasting picture. Despite possessing enormous hydropower potential, forests, agricultural resources and attractive tourist destinations, the region continues to experience considerable economic difficulties. Limited industrial development, inadequate private investment and insufficient employment opportunities have restricted the economic potential of its population. The absence of comparable and consistently published economic statistics also makes independent assessment of its performance difficult.The May 2024 unrest in PoK exposed the seriousness of these economic grievances.Thousands of people protested over electricity tariffs and the rising cost of wheat flour. The demonstrations resulted in fatalities, injuries and the closure of businesses and transport services. Pakistan’s federal government subsequently announced a financial package of approximately Rs. 24 billion to address the demands concerning electricity and flour subsidies. The episode raised serious questions about resource distribution, economic management and the responsiveness of the administration towards local aspirations.One of the most striking contradictions is that PoK possesses substantial hydropower resources, yet its residents have repeatedly protested over the affordability of electricity. This situation reflects the need for a transparent and equitable resource-sharing mechanism that gives local communities a meaningful economic benefit from the resources available in their own territory.Pakistan must recognize that the development of PoK cannot remain secondary to its political and strategic interests. Sustainable economic growth requires stronger local institutions, investment in education and healthcare, encouragement of private enterprise, modern agricultural facilities and meaningful participation of local communities in decisions concerning their resources.It would be equally unrealistic to claim that Jammu and Kashmir has overcome all its economic challenges.

Unemployment, regional inequalities and the need for greater industrial investment remain important concerns. However, the ongoing expansion of infrastructure, connectivity, tourism and economic opportunities provides a foundation for further development.Ultimately, the comparison is not simply about economic figures or political claims. It is about the opportunities available to ordinary people. A young person needs employment, a farmer needs a profitable market, a student needs quality education and a family needs reliable healthcare and affordable essential services. The real measure of governance is not the strength of political slogans but the prosperity it delivers to its people. Jammu and Kashmir’s development journey demonstrates the importance of infrastructure, investment and institutional capacity. Pakistan, instead of using PoK primarily as a political instrument, must prioritise the economic dignity and future of its people. Development, not political rhetoric, should be the true benchmark of progress in every part of Jammu and Kashmir.

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Author can b reached at Email id: aatifkashmiri2026@gmail.com

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