Excelsior Correspondent
Srinagar, July 6: The Kashmir Chamber of Commerce and Industry (KCC&I) while welcoming the decision of the State Administrative Council (SAC) for approving the reforms aimed at streamlining the functioning of Public Sector Undertakings has said that the Government should exercise ‘caution’ while dealing with financial bodies.
The KCC&I said that it was a long pending demand of the Kashmir Chamber that the functioning of State-owned PSUs and other Autonomous Bodies be regulated.
While saying that the intent to address issues related to transparency, equity and economy of expenditure are indeed appreciable, KCC&I said that at the same time “the Government needs to exercise utmost caution while dealing with financial bodies and undertakings.”
“The PSUs have instead of providing support to the economy only managed to create liabilities running in thousands of crores on the State Exchequer and blocked revenue generating assets of equal value,” a KCC&I spokesperson said.
The State has to be equally sensitive to the need for preserving the autonomous character of institutions and to ensure that actions and reforms do not trigger a virtual shutdown of these institutions, KCC&I said.
”A case in point is the hue and cry with regard to the Jammu and Kashmir Bank Limited. A month down the line, it appears that the normal operations of the Bank have suffered a slowdown and a credit squeeze is palpable. The only news emanating is about the registration of cases and measures aimed at the curtailment of powers.”
The KCC&I said that it wants to convey a note of caution to the State to pay close attention to the prevailing financial crisis while going for major reforms and overhauling. “A proper Tendering and Procurement Policy also needs to be formulated,” it said.
Follow our WhatsApp channel