- It is also the fifth urban local body in Gujarat after Ahmedabad, Surat, Vadodara, and Rajkot and the 17th in India to raise funds through municipal bonds
- Gandhinagar is expected to receive around ₹3.25 crore in interest subsidy under the AMRUT scheme, further amplifying the impact of the raised capital
NE BUSINESS BUREAU
GANDHINAGAR, JUNE 25
Gandhinagar Municipal Corporation marked the listing of its municipal bond on National Stock Exchange (NSE) on Wednesday. The ceremony was held at the NSE facility in Gujarat International Finance Tec-City (GIFT City) and was attended by Gujarat Chief Minister Bhupendrabhai Patel and Gandhinagar Mayor Miraben Patel, an NSE release said.
The ₹25-crore bond offering garnered bids worth ₹225 crore in just one hour during the subscription window on the National Stock Exchange, reflecting strong investor confidence in the civic body’s financial credentials, the corporation said in a statement.
The bonds, carrying a coupon rate of 7.65 per cent, have positioned Gandhinagar on the national map for urban financial innovations, it said.
The ₹25 crore raised will be used for the development of iconic and citizen-friendly infrastructure, enhancing traffic efficiency and commuter convenience, it added.
With this, GMC has become the youngest municipal corporation in the country to successfully tap the bond market. It is also the fifth urban local body in Gujarat after Ahmedabad, Surat, Vadodara, and Rajkot and the 17th in India to raise funds through municipal bonds.
In addition, Gandhinagar is expected to receive around ₹3.25 crore in interest subsidy under the AMRUT scheme, further amplifying the impact of the raised capital.
Read also
Union govt partners with IIM Ahmedabad to train panchayats in generating own source revenue
