Union Finance Minister Nirmala Sitharaman today met Lieutenant Governor of Ladakh Brig (Retd) BD Mishra and senior officers of the UT administration to review development, release and use of funds because of limited working season and various other issues faced by the administration.
She also addressed the ‘Credit Outreach Programme’ in which she briefed about commitment of the Central Government under the leadership of Prime Minister Narendra Modi for all round development of Ladakh.
On second day of her three-day visit to the UT, the Union Finance Minister met the Lieutenant Governor of Ladakh in which she had detailed discussions about ongoing developmental works and finances of the UT. The meeting lasted half an hour, sources told the Excelsior.
Finances in Ladakh have become a big problem in current financial year of 2025-26 due to Rs 1266 crore worth cut in the budget by the Finance Ministry resulting to Rs 72 crore each decline in the grants of Leh and Kargil Autonomous Hill Development Councils.
Leh Hill Council which is being ruled by the BJP for two consecutive terms will complete its five-year tenure in September-October this year.
Sitharaman had separate meeting with senior officers of the administration of Ladakh to take review of ongoing works in the UT and more projects to be taken up during current financial year. She was given project-wise analysis by the senior officers.
“There are chances that in the Revised Estimates later this year, Ladakh may get some additional grants to compensate for the budgetary cut,” the sources said.
Later, the Finance Minister virtually inaugurated several development projects in Leh, reaffirming commitment of the Central Government to inclusive growth and infrastructure development in the Union Territory of Ladakh.
The projects inaugurated by Sitharaman will benefit the locals a lot, the sources said.
Later, Sitharaman delivered keynote address at the Credit Outreach Programme in Leh in which she handed over sanction letters from banks of loans worth Rs 5.13 crore to beneficiaries under various Central Government schemes including PM Mudra Yojana, PM Vishwakarma Yojana, PMEGP, PM Micro Food Processing Enterprises Scheme (PMFME) and Joint Liability Group (JLG).
An official handout said:-
A Credit Outreach Program was organized by UTLBC Ladakh, today at Leh, which was chaired by Finance Minister, Nirmala Sitharaman. The event was also joined by Member of Parliament Mohmad Haneefa, Chief Secretary Pawan Kotwal, DMD, State Bank of India Surender Rana and senior officers from the Department of Financial Services (DFS), UT Administration and Banks and other financial Institutions.
As part of the Credit outreach, sanction letters were handed over to 25 beneficiaries for Rs. 5.12 crore under various Government credit linkage schemes, financed by participating banks. These schemes are specifically aimed at enhancing credit penetration and promoting inclusive growth in the remote, high-altitude areas of Ladakh.
The event also showcased the entrepreneurial spirit of Ladakh, with 15 stalls displaying local products, handicrafts, and services by entrepreneurs supported by banks and NABARD.
In her speech, the Finance Minister expressed satisfaction in proliferation of Government sponsored schemes in Ladakh specially in remote regions of Leh district. She also lauded the efforts of bankers in ensuring the delivery and promotion of Financial Inclusion schemes in the country, including Ladakh.
Reflecting on India’s rich pre-colonial legacy, the Minister reminded the audience of the country’s “Golden Period,” when every village was a hub of traditional skills and entrepreneurial activity, contributing to a thriving local economy.
She underlined the transformative impact of the JAM Trinity-Jan Dhan, Aadhaar, and Mobile-initiated under the Modi Government post-2014, which enabled seamless Direct Benefit Transfers (DBT) to beneficiaries without middlemen. This, she noted, significantly enhanced the creditworthiness of individuals and boosted confidence among banks to lend. Today, PMJDY accounts collectively hold a balance exceeding Rs 2 lakh crore.
In the Ladakh region, targeted credit support has been extended to local artisans, agriculture, food processing, and handicrafts, empowering communities to expand their ventures and access broader markets. The Minister noted that banks have established a strong presence across Ladakh, with 539 touchpoints now operational, ensuring last-mile connectivity.
Highlighting infrastructure advancements, she spoke of the all-weather tunnel projects to enhance regional access, solar and renewable energy projects aimed at making Ladakh energy self-sufficient, NTPC’s green hydrogen initiatives, and the introduction of green buses in Leh. The upcoming BharatNet expansion and additional mobile towers will ensure digital connectivity to every panchayat in the region.
The Minister also celebrated the inclusion of Pali among the classical languages, reaffirming the Government’s commitment to preserving ethnic and indigenous languages. As per recent budget announcements, focused support will be extended to promote layered tourism in Ladakh, including assistance for new homestays and related tourism infrastructure.
