J&K Bank records Rs 8,393 cr across 5.94 cr transactions in 4 days

Srinagar, Mar 19: Amid reports of a subdued pre-Eid market from traders across Kashmir, Jammu and Kashmir Bank processed transactions worth Rs 8,393 crore through non-branch channels over four days from March 16 to March 19.

The total number of transactions during this period stood at 5,94,00,887, reflecting steady financial activity despite muted retail sentiment on the ground.

Market stakeholders in Srinagar and other commercial hubs have described this year’s Eid business as comparatively slow, citing weak consumer spending, cautious buying behaviour, and economic uncertainty. Traders noted that while footfall has been visible, conversion into actual purchases has remained lower than expected during what is typically one of the busiest periods of the year.

The bank’s transaction data, however, indicates continued reliance on digital payment systems. UPI led all channels with 4,00,48,711 transactions amounting to ₹3,125 crore, followed by mobile banking (mPay), which recorded 1,70,58,715 transactions worth ₹2,991.70 crore. Together, these two channels accounted for the overwhelming majority of transactions, reinforcing the dominance of digital platforms in everyday financial activity.

ATM transactions stood at 15,50,168 with a value of ₹658.57 crore, suggesting relatively lower cash withdrawals compared to digital usage. eBanking, though contributing only 83,641 transactions, accounted for ₹1,466 crore, indicating its continued role in high-value transfers. Kiosk banking recorded 65,952 transactions amounting to ₹152.61 crore.

In comparison, the Eid-ul-Fitr period in 2025 witnessed significantly higher activity, with ₹13,903.03 crore processed across 9,54,75,882 transactions over a longer reporting window of nearly seven days. The higher base last year, combined with the extended timeframe, partly explains the variation, but traders maintain that the slowdown this year is also reflective of weaker market dynamics.

The contrast between strong digital transaction volumes and subdued market feedback suggests a shift in spending patterns. Analysts point out that while transactions remain high, they may be increasingly oriented towards essential spending, online payments, and peer-to-peer transfers rather than discretionary retail purchases.

The continued prominence of UPI and mobile banking highlights the deepening integration of digital finance in the region. At the same time, the relatively lower dependence on cash transactions aligns with broader national trends toward formal and traceable financial systems.

Traders on the ground echoed concerns over declining sales, with several stating that business has not picked up as expected.

“Compared to previous years, there is a clear dip in sales this time. Customers are visiting markets, but spending is limited,” said a trader from Lal Chowk. Another trader added, “The market is sluggish this Eid. Even in peak days, sales are not matching last year’s levels.”