Altaf Bukhari questions J&K Bank’s lending pattern, recruitment policy

Srinagar, Aug 31: 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 in the region, recruitment policy, representation on its Board and reports of a possible relocation of its headquarters.
Addressing a press conference in Srinagar, Bukhari said the bank’s credit growth in Kashmir was considerably lower than the growth recorded by the institution outside Jammu and Kashmir.
He put the credit growth in Kashmir at around nine per cent against nearly 20 per cent elsewhere, arguing that the figures raised questions over whether the bank was increasingly directing its lending activity away from its traditional market in Jammu and Kashmir.
Bukhari said the issue was particularly significant because the Government of Jammu and Kashmir remains the bank’s largest shareholder, with around 52 per cent stake.
Drawing on his experience as the 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 lending pattern and ensure that the bank continues to play a meaningful role in supporting businesses and economic activity within Jammu and Kashmir.
Bukhari further 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 in cases where recruitment of local candidates was necessary because of language requirements.
He warned that any significant change in this practice could reduce employment opportunities for young people from Jammu and Kashmir.
The Apni Party chief also questioned the present composition of the J&K Bank Board, alleging that representation from Jammu and Kashmir had become inadequate compared to 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 a more serious concern 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. [KNT]