Srinagar, Nov 18: The Kashmir Chamber of Commerce and Industry (KCCI) has commended J&K Bank’s robust financial performance while urgently advocating for a special One Time Settlement (OTS) scheme to support distressed businesses ravaged by years of economic challenges.
KCCI President Javid Tenga highlighted the critical need for a comprehensive debt resolution mechanism. “The proposed special OTS scheme should represent a balanced approach that would not only aid in reviving stressed businesses but also contribute to the overall economic health of the region,” Tenga emphasized.
The Chamber’s proposal emerges from a decade of extraordinary economic disruptions, including devastating floods in 2014, civil unrest in 2016, the COVID-19 pandemic, and significant regional economic challenges in 2019. These events have systematically pushed numerous business accounts into the Non-Performing Assets (NPA) category.
KCCI is demanding an OTS scheme without restrictive conditions, aligned with MSME norms, and seeking immediate relief measures including halting NPA publications, suspending property possession notices, and stopping mortgage property e-auctions.
“As J&K Bank strengthens its financial position, this success should directly benefit struggling account holders,” the Chamber argued. The proposed intervention aims to create a mutually beneficial environment supporting both the bank’s stability and business community recovery.
The initiative reflects KCCI’s commitment to fostering collaborative relationships between financial institutions and local businesses, ensuring sustainable economic development in a region repeatedly challenged by unprecedented economic pressures.
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