FCIK urges Jammu & Kashmir Bank to adopt uniform property valuation policy, warns of MSME credit strain

The Federation of Chambers of Commerce & Industry in Kashmir (FCIK) has formally requested Jammu & Kashmir Bank to introduce a uniform policy for valuing property used as collateral in loan applications. The chamber argues that a standardized approach would bring consistency to credit appraisal and reduce disputes over asset valuation.
FCIK’s communication also points to mounting difficulties faced by micro, small and medium enterprises (MSMEs) in the region, citing delayed loan disbursements, higher collateral demands and an overall tightening of credit conditions.
A senior FCIK representative said the absence of a common valuation guideline hampers MSMEs’ ability to secure timely financing, which in turn affects the local economy that relies heavily on these enterprises. Jammu & Kashmir Bank has not yet issued a public response to the request.
The appeal reflects broader concerns across the state about the availability of credit to small businesses, a sector that contributes significantly to employment and economic activity in Jammu and Kashmir.