Srinagar, Jul 30
Jammu and Kashmir state government has decided to buyback shares to revive State Financial Corporation (SFC). The decision was announced by Finance minister Dr Haseeb Drabu at the annual shareholders meet in Srinagar.
The minister also called for exploring alternative fiscal models for reenergizing the Corporation to make it stronger and more profitable. The Minister was speaking at the 57th Annual General Meeting of the Shareholders of the Corporation here today. The meeting was attended by Commissioner Secretary, Finance Department, Navin Kumar Choudhary, Managing Director (MD) SFC, shareholders and other officials.
The Minister reiterated the need for creative thinking in turbulent times for the Corporation. The minister issued orders for officials to initiate share buyback. The buyback would involve purchasing shares from private and institutional shareholders to revamp SFC.
He said the motive of having different shareholders was to encourage emergence of talent, ideas and ultimately revival of the corporation, which due to various reasons could not happen.
The Minister said the government is in touch with various financial institutions inside as well as outside the state and a group of experts will fine tune future mode of work and collaborations for the Corporation.
He said SFC has a huge potential and it can benefit both local business community as well as the government.
He said SFC can enter financial market in a combination of ways and asked the concerned officials to come up with a working paper in this regard. The
Minister said that the government is hopeful that in coming 2-3 years fortunes of SFC will be revived under a new model.
The meeting also discussed various other issues confronting the Corporation.
The shareholders presented their suggestions before the Finance Minister. They termed their association with SFC as part of their emotions and said that they will welcome any steps that aims to revive the once important institute.