Kashmir’s economy is at a pivotal moment, with per capita income projected to reach ₹1.68 lakh in 2025-26 and growing faster than many northern states. 

The figures point to real progress, but they also mask a troubling reality.

Many young Kashmiris still wake up each morning without meaningful work. Official figures place unemployment in Jammu and Kashmir at nearly double the national level. Youth unemployment stands around 17.4 percent, while urban female unemployment approaches 30 percent. 

Income growth and widespread joblessness now exist side by side, creating a gap between expectation and experience. Families see development in official reports while confronting uncertainty at home.

That contradiction lies at the heart of Kashmir’s economic challenge.

Agriculture and allied sectors continue to support a large share of households even though their contribution to gross domestic product has declined over time. Government salaries, public spending and central assistance remain major drivers of consumption. 

Such an economic structure creates limited space for a dynamic private sector capable of generating large-scale employment. Young people increasingly seek opportunity in a marketplace that struggles to absorb their ambitions.

A deeper problem has emerged alongside these structural weaknesses: the erosion of trust.

Kashmir’s Creator Economy Is Filling a Dangerous Vacuum

Video: If J&K Is Growing, Why Are People Still Struggling?

Kashmir once built its reputation on trust in craftsmanship, commerce and personal relationships. Buyers relied on local traders because credibility served as a merchant’s most valuable asset. Today, many consumers........

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