The beautiful Chinar trees in Srinagar are shedding golden leaves this autumn, but Jammu and Kashmir’s finances are losing their shine. Chief Minister Omar Abdullah met Union Finance Minister Nirmala Sitharaman this week amidst rising money problems. The Union Territory is facing a big financial squeeze because of falling tax incomes and fewer tourists coming after the troubling Pahalgam attack on April 22. Officials close to the talks revealed that Abdullah asked for extra help from the central government to handle the tight money situation. J&K’s GST earnings fell sharply to ₹551 crore in October 2025 — down 9% from ₹608 crore last year. At a recent FICCI event in Srinagar, Abdullah warned that GST rate changes might cut their revenue by up to ₹1,000 crore this year alone. After the meeting, the Chief Minister’s office shared on X that the talks focused on "strengthening infrastructure, boosting investment and ensuring continued financial support for welfare-driven initiatives in J&K." A senior official explained the dip in GST is a real problem. “The CM pressed for sustained central support,” he said. Tourism, the heart of J&K’s economy, took a big hit after the Pahalgam terror attack. Hotel bookings dropped sharply, and the usual autumn tourist rush stayed away. Qazi Tauseef, spokesperson for the Kashmir Economic Alliance, told Businessline, “Tourist flow in October and November remained much low, which impacted various sectors, especially trade, hospitality and transport.” But he stayed hopeful, saying winter bookings are picking up and the tourism sector is ready for a comeback. Because tourism slowed down, GST from service activities also took a hit. Experts say J&K can’t easily boost its own tax income and has limited borrowing options. So, it depends heavily on central government grants to fund big projects and welfare plans. A Srinagar-based economist summed it up: “Until tourism stabilises and GST collections recover, financial pressures are likely to persist.” While the Finance Ministry hasn’t commented on the Chief Minister’s request yet, officials expect talks to continue in the next few weeks. Jammu and Kashmir’s economic future now hinges on how soon tourists return and taxes bounce back.