Hyderabad and Visakhapatnam are among the 10 cities collected municipal bonds for construction of a sewage treatment plant
Secretary, Ministry of Housing and Urban Affairs, Durga Shanker Mishra informed that the coupon rate of 8.10 per cent is the most competitive rate so far for Municipal Bonds in India. He said, ten more cities have raised municipal bonds recently. These are Pune, Hyderabad, Indore, Amravati, Bhopal, Visakhapatnam, Ahmedabad, Surat,Lucknow and Ghaziabad.
Ghaziabad has become 10th city in India and second city in Uttar Pradesh to raise Municipal Bonds of Rs 150 crore for construction of a tertiary sewage treatment plant. Mr. Mishra said, this is the first green bond, meant for environmentally sustainable projects of wastewater reuse.
He said that this demonstrates the confidence of the market in the Municipal Bond segment and is a resounding validation of Good Governance in Uttar Pradesh. Mr Mishra added that raising Bond is an instrument for paradigm change in urban governance. It makes cities clean up their governance and financial systems.