Jammu, Jul 23 (IANS): A 40-bed hospital and several schools will be set up for Kashmiri migrants in the newly-constructed Jagti township here in Jammu and Kashmir, a minister said Saturday.

Revenue, Relief and Rehabilitation Minister Raman Bhalla made the announcement Friday after visiting the township that has 4,120 flats and is equipped with modern facilities.

Speaking to IANS, Bhalla said the purpose of these facilities was to "make the life of the migrants better at the township".

He said the state government was committed to making adequate arrangements for the migrants willing to return to Kashmir Valley. "An atmosphere is being created to settle them in the valley so that they return to the land of their ancestors," he said.

The peaceful summer of Kashmir so far this year has added to the hopes of the government about making its relief and rehabilitation policy a success.

Approximately 350,000 Kashmiri Hindus, better known as Kashmiri Pandits, fled the valley in 1990 when militancy erupted in Kashmir.

They were first lodged in tented accommodations and then migrant camps where they were given a one-room tenement.

Prime Minister Manmohan Singh had in 2008 announced a Rs.1,600 crore package for the return and rehabilitation of Kashmiri migrants.