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1. INTRODUCTION OF THE ORGANIZATION

Jammu and Kashmir Bank is a Scheduled Commercial Bank and one of the oldest
private sector Bank in India, incorporated in 1938. Bank is listed on the NSE and the
BSE and has its corporate Headquarters at Srinagar. Bank functions as a leading bank
in the Union Territories of Jammu and Kashmir and Ladakh and is designated by
Reserve Bank of India as its exclusive agent for carrying out banking business for the
Government of Jammu & Kashmir and Ladakh. J&K Bank caters to banking
requirements of various customer segments which includes Business enterprises,
employees of government, semi-government and autonomous bodies, farmers,
artisans, public sector organizations and corporate clients. The bank also offers a wide
range of retail credit products, including home, personal loans education loan,
agriculture, trade credit and consumer lending, a number of unique financial products
tailored to needs of various customer segments.

Jammu & Kashmir Bank Limited (J&K Bank) is one of the oldest

private sector bank in India, having its Corporate Headquarters in Srinagar, J&K with
its Zonal Offices in J&K, Delhi, Mumbai and Ladakh. It is under the ownership of
Ministry of Finance, Government of Jammu and Kashmir. J&K Bank was
incorporated on October 1, 1938, by then ruler of princely state of J&K Maharaja Hari
Singh with initial paid up capital of ₹ 5.00 Lakh. The bank registered a total business
turnover of over Rs.1750 billion as on March 31, 2021 The Bank, incorporated in
1938, is listed on the NSE and the BSE is incorporated and occupies a unique and
dominant position within Jammu and Kashmir due to its strong market presence and
status as exclusive agent designated by the Reserve Bank of India for carrying out
banking business for the Government of Jammu and Kashmir and its state-owned
institutions and departments. The bank collects tax revenues for the central
Government of India on behalf of the Central Board of Direct Taxes and Central
Board of Excise and Customs, and works with the UT Governments of J&K &
Ladakh in the implementation of a number of flagship initiatives for employment of
youth, women empowerment etc.

MAIN OFFICE;

J&K Bank corporate office, M.A road Srinagar

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J&K Bank corporate office fax number; +91-194-2481902

NUMBER OF EMPLOYEES;

The overall total number of employees in J&K bank is 12307

1.1 MISSION OF J&K BANK

 To acquire an enhanced business footprint across geographies and emerge as a

prominent national brand in the financial sector.
 To position the Bank as the “Most Preferred Bank” for Customer focus,
Operational Excellence and High Integrity towards one and all stakeholders.
 To be the best-in-class financial intermediary, leveraging our digital and
physical banking channels;
 To observe customer centricity through service excellence, integrity and
transparency, and a comprehensive range of innovative products and services
responsive to customer needs.
 To be a lean, learning and efficient banking organization focusing on prudent,
sustainable, profitable growth and value creation.
 To adopt the best standards for corporate governance, business ethics and risk
management.
 To vigorously promote financial inclusion as a business proposition to harness
the potential at the bottom of the pyramid.
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1.2 VISION OF J&K BANK

 To acquire an enhanced business footprint across geographies and emerge as a

prominent national brand in the financial sector.
 To position the Bank as the “Most Preferred Bank” for Customer focus,
Operational Excellence and High Integrity towards one and all stakeholders.
 To be the best-in-class financial intermediary, leveraging our digital and
physical banking channels;
 To observe customer centricity through service excellence, integrity and
transparency, and a comprehensive range of innovative products and services
responsive to customer needs.
 To be a lean, learning and efficient banking organization focusing on prudent,
sustainable, profitable growth and value creation.
 To adopt the best standards for corporate governance, business ethics and risk
management.
 To vigorously promote financial inclusion as a business proposition to harness
the potential at the bottom of the pyramid.
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1.3 POLICY OF THE J&K BANK

Fair practice code for lenders

 Anti money laundering policy of the bank

 Policy document on collection of cheques/instruments
 Collection of dues and repossession of security
 Customer compensation policy
 Grievance redressed policy

Outsourcing policy

 Details of recovery agent

 Code of bank commitment to customers
 Policy on incentivising business units employees for Customer services in the
bank

Customer rights policy

 Policy for dishonour of cheques

 Comprehensive deposit policy
 Customer protection policy
 TAT timeline for loan application
 Social media guideline for customer stakeholders and general public
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1.4 PRODUCTS AND SERVICES OF J&K BANK

The Jammu and Kashmir Bank Limited provides various banking products and
services. The company operates through Treasury Operations, Corporate/Wholesale
Banking, Retail Banking, and Other Banking Business segments. It offers savings,
current, salary, pension, and small accounts; and term deposits. The company also
provides housing, consumer, education, term, car, coaching fee, personal
consumption, and skill loans; festival advances; and laptop/PC, smartphone, school
education, modular kitchen, Sahafat, solar equipment, and two-wheeler finance
services, as well as cash credit schemes, and loans against gold ornaments and
jewellery. In addition, it offers commercial vehicle, school bus, passenger bus/mini
bus, dastkar, craftsmen, commercial premises, contractor, mini sheep farm
establishment, construction equipment, and tourism financing services; Saral
financing services to small businessmen; mortgage loans for trade and service sector,
loans against mortgage of immovable property, fair price shop schemes, and start-ups
financing services; Karobar cards; guaranteed emergency credit lines; credit guarantee
schemes for subordinate debt; agroterm loans, fruit advances schemes, and Giri
finance schemes; debt swap schemes for farmers; and mortgage loan schemes for
agricultural produce traders. Further, the company provides govt sponsored schemes;
life and non-life insurance products; debit, credit, and prepaid cards; and merchant
acquiring services. It operates through 980 branches and 1403 ATMs in India. The
company was incorporated in 1938 and is headquartered in Srinagar, India.
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1.5 PERFORMANCE OF J&K BANK

Performance:

Posting its highest annual profit after FY 2014-15, J&K Bank today registered annual
net-profit of Rs 501.56 Cr for the Financial Year 2021-22 witnessing 16% YOY
growth when compared to Rs 432.12 Cr recorded last financial year, while delivering
net profit of Rs 112.20 Cr for Q4 of the current financial year.

The bank declared its annual and Q4 results today after the Bank’s Board of Directors
approved the numbers in a meeting held here at the bank’s Corporate Headquarters.

Performance Highlights

While funding its liabilities including non-financial ones on voluntary basis by

making one-time provisioning, J&K Bank today delivered net profit of Rs 501.56 Cr
for the Financial Year 2021-22 and registered Rs 112.20 Cr as net profit for January-
March quarter of the FY 2021-22.

During the fourth quarter, the Bank’s other income rose 10% YoY to Rs 196.45 Cr
while as the total income increased by 7% to Rs 1171.95 Cr.

With Cost of Deposits improving from 4.10% to 3.65% on YoY basis, the Bank’s
NIM was recorded at 3.50% for the year ended March 2022. CD and CASA Ratios
stood at 61.37% and 56.56% respectively for the reviewed financial year.

Asset-Quality
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The Bank’s gross and net NPA as percentages to gross and net advances improved
considerably to 8.67 % and 2.49 % respectively when compared to 9.67% and 2.95 %,
recorded last year.

NPA Coverage Ratio of the Bank witnessed marked improvement to 84.26% when
compared to 81.97% a year ago.

Capital-Cushion

After rising over Rs 1100 Cr as capital during the FY 2021-22, the Bank’s Capital
Adequacy Ratio witnessed marked improvement from 12.20% to 13.23% thus
ensuring availability of growth capital in addition to maintaining the regulatory
requirements.

GROWING BUSINESS

Posting growth of over 5% in its business, the Bank’s deposits have increased by 6%
to Rs 114710.38 Cr while as the Advances have grown to Rs 70400.68 Cr. In J&K,
the deposits have witnessed 7% increase while as the advances have grown by 10%.
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TOTAL BUSINESS

Total business <CR>

9100

9000

8900

8800

8700 Total business <CR>

8600

8500

8400

8300

8200
2018-2019 2019-2020 2020-2021

2018-19 = 8488.1cr

2019-20 = 8992.2cr

2020-21 = 8830.08cr
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Posting growth of over 5% in its business, the Bank’s deposits have increased by 6%
to Rs 114710.38 Cr while as the Advances have grown to Rs 70400.68 Cr. In J&K,
the deposits have witnessed 7% increase while as the advances have grown by 10%.

MD-Speak

Commenting upon the annual financial results, Bank’s MD & CEO Baldev Prakash
said, “Well, numbers do tell their own story and the story is that after long we have
surely strengthened and stabilized as a financial institution. We have left the worst far
behind us as it’s after seven long years, the Bank has consolidated its balance-sheet
and clocked over Rs 500 Cr as annual profits. Our YoY and QoQ growth in business
is consistent and provides the Bank requisite drive to grow and leap ahead with more
strength and confidence.”

“Preferring stability and consolidation of balance-sheet over profits, the Q4 numbers

express our resolve to strengthen balance-sheet while making sustained profits, as we
have provided for our liabilities besides making voluntary provisioning for some non-
financial obligations that were not mandated and could be met over a period of next
five years as per the board approvals. This has been done consciously to provide
ourselves enough head-room for delivering better returns to our investors while going
forward”, he added.

Regarding the strategy for achieving Bank’s business goals, he said, “For achieving
our growth objectives, a comprehensive strategy review has been completed. As last
leg of the reviewing process we organised a maiden but very fruitful Strategy
Conclave in Srinagar last week that helped us to conclude the most enriching and
exhaustive business strategy review of the Bank and delineate the future course of
action by taking the all concerned stakeholders on board.”

He further said, “Although growth in J&K has generally been around 10% both for
Deposits as well as advances even during the crisis situations but the green shoots of
shift in stance in our Rest of India (ROI) business strategy have begun appearing with
QoQ growth of 6% in our ROI loan book, which has happened after witnessing de-
growth during last few consecutive years.”
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Summing up his future view of the Bank’s position and performance, MD & CEO
said, “With record tourist-inflow this year, Governmental emphasis on increased
infra-structure spend and investment climate obtaining favourably in our core
geography of J&K and Ladakh, we can see the promising scenario emerging for us as
premier financial institution of the region that is expected to grow ahead and gain
further significance in short as well as long-term.
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ORGANISATIONAL DESIGN AND STRUCTURE

MANAGING DIRECTOR /CEO

General Manager

Deputy General Manager

Asst. Gen. Manager Financial Analyst

District Sr. Accounts Sr. Manager Sr. Comp Private Sec to

Manager Officer Planning Engineer Chairman

Managers Accounts Manager Computer Sr. Stenographer

Officer Accounts Engineer

Deputy Manager Driver Chauffer Grade

Executive 1st Driver 1st

Jr. Stenographer Driver 2nd

Accounts Assistant

Jamadar

Orderlies Recovery Helpers Watchman

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MAJOR MARKETS & CUSTOMERS OF J&K BANK

The bank being the major financial player in the UT of Jammu and Kashmir holds a
leading market share of over 65% as of March 31, 2021 in banking business. Besides bank also
holds market share of around 60% in banking business in the UT of Ladakh. Holding a major
Market share of 64% of banking business in UT of J&K and 60% in the UT of Ladakh as on
March31, 2021.

J&K Bank occupies a unique and dominant position within Jammu and Kashmir due to its
strong market presence and status as exclusive agent designated by the Reserve Bank of India
for carrying out banking business for the Government of Jammu and Kashmir and its
government owned institutions and departments. The bank collects tax revenues within the
UTs of J&K and Ladakh for the central Government on behalf of the Central Board of Direct
Taxes and Central Board of Excise and Customs, and works with the UT Government of J&K
& Ladakh in the implementation of a number of flagship initiatives involving employment of
youth, women empowerment etc. J&K Bank caters to banking requirements of various
customer segments which includes employees of government, semi-government and
autonomous bodies, farmers, artisans, public sector organizations and corporate clients. The
bank also offers a wide range of retail credit products, including home, personal, educational
and automobile loans, agriculture loan, trade credit including a number of unique financial
products tailored to the needs of the people of Jammu and Kashmir. 

“Pioneering the economic and social transformation” To become a committed partner in

fostering economic and social transformation across the country through a deep commitment to
value creation for all our stakeholders, while continuing to build on our historic business
relationship with Jammu & Kashmir and Ladakh.

Holding a major Market share of 64% of banking business in UT of J&K and 60% in
the UT of Ladakh as on March 31, 2021.
• Designated as RBI’s agent for carrying out banking business for the Government of
UTs of J&K and Ladakh.
•Authorized to collect central taxes for CBDT.
•Convenor of Union Territory Level Banker’s Committee (UTLBC) in UT of J&K.
•Acting as lead bank in 12 districts of J&K.
• Unique and competitive position within UT’s of J&K and Ladakh due to its strong
market presence.
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• Huge account base of 1.83 Crore (Deposits & Advance on Pan India basis, with 1.75
crore accounts (Deposit & Advances) in UTs of J&K and Ladakh, thus reflecting
dominance & vast coverage in the region with a total population of 1.25 Crore.