SRINAGAR — Apni Party president and former Finance Minister Syed Muhammad Altaf Bukhari on Monday questioned the functioning and direction of Jammu and Kashmir Bank, raising concerns over its lending pattern, recruitment policy, Board representation and reports of a possible relocation of its headquarters.
Addressing a press conference in Srinagar, Bukhari said credit growth in Kashmir was considerably lower than the growth recorded by the bank outside Jammu and Kashmir.
He put the credit growth in Kashmir at around 9 per cent against nearly 20 per cent elsewhere, and questioned whether the bank was increasingly directing its lending activity away from its traditional market in Jammu and Kashmir.
Bukhari said the issue was significant as the Government of Jammu and Kashmir remains the bank’s largest shareholder, with around 52 per cent stake.
Drawing on his experience as former Finance Minister, he also questioned the rationale behind lower lending in Jammu and Kashmir when, according to him, non-performing assets were higher outside the region.
He said the government should examine the bank’s lending pattern and ensure that it continues to play a meaningful role in supporting businesses and economic activity within Jammu and Kashmir.
Bukhari also raised concerns over an alleged proposal to change the recruitment pattern for positions outside Jammu and Kashmir.
He said that in the past, recruitment to branches operating outside the region largely provided employment opportunities to candidates from Jammu and Kashmir, except where recruitment of local candidates was necessary because of language requirements.
He warned that any significant change in the practice could reduce employment opportunities for young people from Jammu and Kashmir.
The Apni Party chief further questioned the present composition of the J&K Bank Board, alleging that representation from Jammu and Kashmir had become inadequate compared with the number of directors from outside the region.
He sought an explanation from the government over the alleged changes, particularly in view of its substantial ownership in the bank.
Bukhari also raised concerns over reports that the headquarters of J&K Bank could be shifted from Srinagar.
He said any such move would have implications beyond the administrative functioning of the bank and could affect its institutional connection with Jammu and Kashmir.
Bukhari held the Jammu and Kashmir Government responsible for what he described as the situation surrounding the bank and called for immediate clarification on the issues.
He said the government should make its position clear on the bank’s lending strategy, recruitment practices, Board representation and the reported headquarters proposal rather than allowing uncertainty to persist.
