Kashmir Inc expresses concern over dearth of liquidity

J&K Bank Chairman and Managing Director R K Chhibber on Saturday interacted with the delegation of various trade bodies’ representatives that had called on him here at the bank’s corporate headquarters.

The delegation-comprising of representatives of handicraft and import/export sector Mushtaq Ahmad Wani, JavidTenga, Fayaz Ahmad Punjabi, MuzaffarMajid and Sheikh Feroz; CA stores (Aghlar Industrial Estate Shopian) AshfaqShangloo; tourism Faiz Ahmed Bakshi; general trade Altaf Ahmed Tramboo; Hajj and Umrah operators Umar Nazir Tibet Baqal; and IT Sector Tausif Ahmed – discussed various issues concerning the business community, putting forth suggestions and feedback.

   

During the interaction, the representatives highlighted the need to provide financial support to small businesses of the UT that have taken a serious hit due to the Covid-19 pandemic and requested the management to consider increasing the quantum of finance in case of Dastkar Finance scheme to help revive the handicrafts and thereby artisans. Moreover, they requested the CMD to address the issues concerning the tourism and transport sector and formulate out-of-the-box solutions to kick-start the start-ups whose operations have come to a grinding halt owing to the nation-wide lockdown aimed at controlling the pandemic.

Putting forth their requirements, the representatives of Haj and Umrah operators and CA store owners expressed concerns over the dearth of liquidity and underscored the need of a temporary finance facility to help run their businesses smoothly.

Flanked by the senior functionaries of the bank including Executive Presidents ArunGandotra and Sunil Gupta; President ChetanPaljore; Vice Presidents ManzoorHussain and Peer Masood Ahmad; Special Secretary to CMD Karanjit Singh and other senior officers of the bank, the Chairman & MD assured full support to the delegation and said that post-Covid-19, the bank had proactively kept all its banking services available to the general public of the UT.

The CMD said, “We also devised the means to support the businesses so that people are able to deal better with the pandemic induced crisis. Within weeks of the lockdown, we offered a 10 pc additional facility in Working Capital limit at a very low interest rate to help the MSMEs and small traders wade out of the difficulty.”

The statement said the package is applicable to all Business Enterprises/MSME borrowers having combined outstanding loans across all Banks/FIs of up to Rs 25 crores as on 29.02.2020 and annual turnover of up to Rs 100 Crores in FY 2019-20. The maximum amount to be funded shall accordingly be uptoRs 5 crore. Further, to be eligible under the scheme, Business Enterprises / MSME borrowers must be GST registered in all cases where such registration is mandatory. The additional funding shall facilitate meeting operational liabilities build up, buying raw material and resuming business activities.”

“Business Units are being advised to be prompt in the credit dispensation  as the said scheme is valid upto 31.10.2020, or till an amount of Rs 3,00,000 crore (to be sanctioned under GECL and guaranteed by NCGTC) stands exhausted across the Banking System, whichever is earlier.”

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