The cash-strapped Kerala State Road Transport Corporation’s (KSRTC) attempt to raise a working capital of ₹100 crore by repledging the buses procured under KSRTC-SWIFT, a legal entity formed for the centralised control of long-distance buses under the corporation, is yet to evoke any major response from the industry.
Speaking to The Hindu, a senior Transport department officer said the move for repledging the buses began around six months ago, but it is yet to yield any results mainly due to the poor track record of the corporation. Raising a working capital of ₹100-150 crore would help the corporation tide over the present crisis. If the corporation is able to raise ₹100 crore by repledging buses worth ₹280 crore, the funds can be kept as a reserve or buffer.
The salaries of employees, which would come up to about ₹80 crore, can be paid from this reserve every month without waiting for the assured financial assistance from the Finance department. The funds can also be kept intact when the State releases its monthly aid to the corporation, said the officer.
