Appeals for moratorium period for next two years
Srinagar: Two years after the Central government abrogated the special status of Jammu and Kashmir and bifurcated the erstwhile State into two Union Territories, the trade body in the Valley here has said that they are struggling to cope up the business losses they have faced over the past two years.
An Apex trade body of the Valley, Kashmir Chamber of Commerce and Industry (KCC&I) estimates a loss of around Rs 45,000 Cr, and attributes the fallout of business to the successive lockdown over the past two years, after the government put severe clampdown and restrictions in the valley, followed by the nationwide Corona lockdown in March 2020 and in April 2021.
According to the Apex Trade Body of the valley KCC&I, the fallout of led to their business transactions off the track with the banks and other financial institutions, taking their performing business accounts to Non-performing Assets (NPAs).
Sheikh Ashiq, President Kashmir Chamber of Commerce and Industry (KCC&I), said that trade and business is struggling in the valley to get back on the track, though businessmen try to revive their business, but unless Government won’t extend helping hand to the trade and business community in the valley, the revival is very difficult.
“Trade is just restarting in the valley, but deficiency of working capital and un-cleared liabilities are making it difficult for the trade and business bodies”, he said.
While referring to the larger segments of the trade and business community in the valley, he said that the good performing accounts have turned into NPAs, and the trade and business community is struggling with the sales also leading further effect on the revival of NPA accounts.
According to the trade bodies, around 50 percent of the trade is on the verge of closure, with some business establishments already either closed or have changed their line of activity because of the non-availability of the working capital, which according to them has exhausted over the years.
Appealing the Finance Minister Nirmala Sitharaman, Lieutenant Governor Manoj Sinha and Chief Secretary Dr. Arun Kumar Mehta, Ashiq said, there is a need of moratorium period for next two years for the trade and business community in the valley.
He further said that an instant relief with one time Amnesty for the Wavier of Interest accumulated since the conversion of Accounts of trade and business Units in NPA and also Restructuring of those accounts with Two Year moratorium period & repayment of the loan in next seven-year with the additional funding to restart their units. (KNO)