Fulfilling his commitment made with the business community, Lt Governor Manoj Kumar Sinha on Saturday announced a mega relief and revival package of Rs 1,350 crore to help the J&K business sector to tide over their problems.
Addressing a press conference in the Raj Bhawan auditorium in Srinagar Lt Governor announced a package of measures, both financial and non-financial, aimed at helping business and entrepreneurs.
In his opening remarks Lt Governor also stated that the first part of overall economic package came from Government of India in terms of Atma Nirbhar Bharat Abhiyan.
Elaborating on the details, he said that so far Rs 1,400 crore has already been provided through JK Bank and other banks under this Abhiyan. He added that it has many components which seek to help business entities in multiple ways such as provision of liquidity and other financial supports. He said that many welfare measures such as free rations and support to the most needy were also being provided.
The Lt Governor said that the main component of today’s package is 5 % interest subvention to all borrowers irrespective of their sizes, which would cost about Rs 950 crore. The interest subvention will be available for six months in the current financial year and it will be a huge relief in the current scenario.
Lt Governor went on to say that government has also decided to provide 50 % waiver of fixed charges for one year with respect to electricity and water which would cost Rs 105 crore. He said that they have also decided to assist bus drivers/conductors, auto/taxi drivers etc who may have lost their livelihood by providing for an appropriate mechanism.
Further 50% or Rs 5.00 lakh subsidy whichever is lower shall provided to the transporters for replacement of old buses and the insurance premium shall be borne by the Government subject to maximum of Rs 5,000 per vehicle for Buses/Mini Buses, Rs 3,000 for taxes/sumos and Rs 2,000 for three wheelers.
For Tourism Sector, subsidy for installation of Bio-digesters in the houseboats has been announced.
Assistance shall also be extended out of ‘JK Relief Fund’ to some 19914 Shikara/House Boat owners/Tourist Guides /Pithuwalas/Dandiwalas/Sledge Walas/Pony/Camel Riders and cash assistance of Rs 1,000 to all of them given from last 3 months shall be extended for further 06 months ending 31st December, 2020.
There are more than 3100 artists who have lost their livelihood during the pandemic. The artists associated with the cultural academy shall be paid Rs 1000 per month out of ‘JK Relief Fund’ for a period of 09 months w.e.f 1st April, 2020.
For agriculture sector, district level bankers committee shall be constituted to ensure loan coverage for agriculture and allied non-farm activities under Mudra loans. Meetings will be organised every month to overcome difficulties faced by the borrowers.
Moreover J&K Bank shall frame customised “Help Tourism” scheme for financial assistance to persons associated with the Tourism Sector with attractive pricing and repayment features. All stake holders shall be taken on board for any modifications.
As far as tax concessions are concerned, the filing of the GST reimbursement claims has also been extended till 31st December, 2020.
Handholding to remove difficulties in filing returns and mechanism to avoid delays in reimbursement claims shall be instituted.
The accumulated interest shall be converted into funded interest term loan.