Underscoring the need to ensure hassle free credit to the entrepreneurs coupled with zero default in recoveries, the minister for finance and Ladakh affairs, Abdul Rahim Rather on Friday asked the J&K State Financial Corporation (J&K SFC) to gear up for playing its assigned role in the development of Micro, Small and Medium Enterprises (MSME) and allied sectors for employment generation and growth of the state’s economy.
Speaking at the 228th meeting of the board of directors of J&K State Financial Corporation (J&K SFC), Rather said that corporation’s contribution in the development of MSME sector in the state has, earlier also, been significant adding that all the possible logical support would be provided to it for restoring its past glory, provided the corporation improves its performance up to the mark. “In fact, government support to every Public Sector Undertaking (PSU) will now be strictly performance linked,” Rather asserted.
Rather stressed upon the management of the SFC to put in place a strong monitoring mechanism to ensure target oriented recoveries which, he said, was imperative for its fiscal health as well as for a sustained credit cycle.
“As the SFC, has now reached to the breakeven point, all the efforts should now be to make it available financial institution, strong enough to compete other banking players in the market,” Rather said and asked the Corporation to complete its statutory Audit for the year 2011-12 up to ending March 2013 positively.
Noting considerable improvement in the performance of the corporation, Rather announced payment of remaining 34 per cent of 6th Pay revision in favour of the employees of the corporation, thereby making 6th pay commission recommendations fully applicable to the corporation.
Earlier the Board had released two installments of 33 per cent each in favour of the employees, linking release of the remaining 34 per cent to the performance of the employees.