The government of Jammu and Kashmir has recently revealed a substantial debt amounting to Rs 1.25 lakh crore, which represents 52% of the state’s Gross State Domestic Product (GSDP). This debt surpasses the state’s budget and encompasses a range of loans and financial obligations. The economic survey for the fiscal year 2024-25 has shed light on the magnitude of these outstanding liabilities and the fiscal hurdles confronting the region.