Challenges and Opportunities for BAJK's Enthusiastic Chairman of Board of Directors

 

Challenges and Opportunities for BAJK's Enthusiastic Chairman of Board of Directors

                                                                                                     (By: Abdul Basit Alvi)

Bank of AJ&K is working across the State of Azad Jammu and Kashmir with a large network of branches. It was established under an Act passed by Azad Jammu & Kashmir Legislative Assembly in 2005 with an initial Paid-up Capital of Rs. 255 Million and commenced its operations as Non-Scheduled Bank on November 01, 2006 with its Head Office located at Muzaffarabad, AJK. The bank is playing key role not only in helping under developed areas but it is creating job opportunities and also assisting overseas Kashmiris to effectively and profitably invest their savings in AJ&K. The Bank firmly believes that goals of poverty reduction and faster socio-economic development can be successfully achieved by providing equal access to resources of economy.

During the past years, the bank was facing a number of challenges regarding Business, Operations, I.T, Internal Controls and Human Resource etc. Bank’s profitability was deteriorating year after year, one third of the branches were in loss. Advances were showing continuous declining trend. Procurement of high cost unstable Deposits had also worsened the Bank’s profitability.

The Bank had bright opportunities to place its name in the sector as the state had huge banking potential. Also a significant available market was still untapped. Bank had a good opportunity to show its presence in un-banked areas across the State. Rapidly growing Economic and Development activities in the state also provided a healthy environment and positive sign for the bank to grow and enhance its performance. Fields like Hydro power, Agriculture, tourism etc have notable potential to further explore and hence have huge business opportunists for the bank.

As the recent years are not so good for economies and it has seen as really a hard time due to COVID-19. Many businesses are going into loss due to side effects of this pandemic. In spite of this tough time, the Bank of AJK is showing marvelous results. The Bank has achieved the historical results of showing tremendous performance. Performance of the bank which was continuously declining got a boost and made revolutionary achievements. 

The key performance indicators of the bank are self explanatory and showing the commitment and enthusiasm of leadership and field functionaries. 

In order to show continuity in performance and further progress, the bank is focusing more and working hard on the key business factors. Bank has got new boost after assumption of charge by Abdul Majid Khan as its new Chairman of the Board of Directors. His vision and commitment is helping in achieving the required goals. Following are some of the initiatives taken under his patronage: 

The management of the Bank is striving hard to procure CASA deposit which are less expensive and make real life blood for any financial institution. Advances are the main source of earning of any bank so the management is focusing more on extension of secured lending products. Bank is continuously increasing its product range for attracting the potential customers.

Bank’s Management is also keen to provide the banking facilities to far flung areas of the State where other banks are not operating. More state of the art branches are planned to be open in near future for accessing the remote areas of AJK.

The Bank is focusing more on the important area of Human Resource. Competent and qualified employees are playing key role in achieving the set targets. Management is working hard not only for the welfare of the employees but giving equal importance to their needs of Training, Research & Development.

The Bank is struggling hard to enhance its IT capabilities. More branches are converting from manual to online system. All means are used to facilitate the customers. Heavy investment and efforts are put in to modernize the IT structure of the branches.

BAJK has introduced/strengthened several Asset and Liability products for further business growth.

The Bank of Azad Jammu & Kashmir is stepping forward and touching the hallmark of excellence under the leadership of its Chairman of BOD Mr. Abdul Majid Khan. Mr. Abdul Majid Khan is a seasoned politician with sound track record. He is also serving as Finance Minister of the State and is successfully using his current portfolio for bringing more avenues and opportunities of business for the bank. He holds excellent excellent foreign qualifications. His strong portfolio, commitment, enthusiasm and vision is taking the Bank to new heights. He is fully committed to cope with challenges and take benefit from the available opportunities. He along with the Team of the Bank is working hard for showing the excellent results in future as well. Under the patronage of worthy Chairman, BAJK is fully committed to show the best results and continuity of performance in future with same pace and consistency.