State Cooperative Bank enters into MoU with Batamaloo Traders’ Association

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SRINAGAR: J&K State Cooperative Bank has entered into an agreement with Batamaloo Traders’ Association. The aim of the agreement is to channelise the credit flow to the members of the association without any hassle.
In this regard, a memorandum of understanding (MoU) was signed between the bank and the association in an event organised at the corporate headquarters of the bank. The MoU was signed by the Managing Director of the Bank, M Lateif and the President of the Batamaloo Traders’ Association, Abrar Ahmad Khan.
Speaking on the occasion, Chairman of the Bank, M S Dar said that the agreement was arrived at after a series of representations from and meetings with, the office bearers of the association, an official statement read.
Dar said the primary aim of the agreement is to provide hassle free credit to people involved trade at micro level.
He said, “It is a general observation that people involved in sale, service and manufacturing activities at micro level find it difficult to get access to the credit when needed. It is either due to less understanding of the credit mechanism or unfortunately, in some cases, inconsiderate approach and attitude of the banks.”
Dar stressed that the agreement aims to clear such stumbling blocks and encourage entrepreneurial activities. He said “through this agreement, the bank will be able to connect to a vast community of small traders and help them make progress in their business activities”, it further read.
Under the agreement, capital in the form of revolving and term loans would be provided to the members of the association with minimum documentation, relaxed norms and a special rebate in interest rate. “In the near future, several other products will be tailored as per the requirements of the members,” the statement read.
Dar said the very purpose for existence of cooperative credit institutions is to “seek socio-economic upliftment at grassroots level and infuse credit in small and unorganised sectors”.
The bank is planning to enter into such arrangements with other traders’ bodies and create a healthy lending atmosphere whereby small businessmen will have a say in the formulation of the banking products.
Bank has applauded the role of the office bearers of the association for coming forward and offering to work with J&K State Cooperative Bank.
Batamaloo Traders’ Association has more than 5000 members and the bank aims to cover all the units during current fiscal.