Jammu: The Union Territory of Ladakh is likely to get back most—if not all—of the funds slashed in this year’s budget, with the Union Finance Ministry expected to restore the cut during the Revised Estimates, a reported said.
The move will benefit both Leh and Kargil Hill Development Councils, whose capital expenditure plans were hit by the reduction.
According to the report published in Daily Exceslior, the UT administration and the Chairpersons-cum-CECs of both Hill Councils have been pressing the Union Finance and Home Ministries to reverse the ₹1,266 crore cut announced in the 2025–26 budget.
There are now “strong indications” that the restoration will happen, following positive discussions in recent days.
The issue has been raised at multiple levels, including by LG Kavinder Gupta during his meetings with Prime Minister Narendra Modi and Union Home Minister Amit Shah last week. Chairman-cum-CEC Leh Tashi Gyalson is also in New Delhi, meeting Union ministers to push Ladakh’s infrastructure priorities.
While the Finance Ministry is reportedly inclined to restore the funds, the final decision will follow a review of expenditures by the UT administration and the two Hill Councils. Officials say Ladakh’s development spending this year has been “satisfactory,” strengthening the case for reversal.
The budget cut earlier this year had forced the UT administration to slash allocations to each Hill Council by around ₹90 crore, sparking resentment among councillors who warned that reduced capital spending would slow down key projects.
The restoration process comes amid political activity, with LAHDC Leh elections due in October—unless the creation of five new districts, already cleared by the Ministry of Home Affairs in principle, leads to a delay. Currently, Ladakh has only two districts, Leh and Kargil.
