GHMC to raise 1000 cr thru Muni bonds

ghmcThe concept of Muni bonds (municipal bonds) is making a comeback after the first such bonds were sold by Ahmedabad Municipal Corporation in 1998.

Greater Hyderabad Municipal Corporation (GHMC) will issue bonds to raise Rs 1,000 crore for works under Strategic Road Development Plan.

Telangana Municipal Administration and Urban Development Minister KT Rama Rao on Monday tweeted that with an AA credit rating, GHMC was now leading with novel means of resource mobilisation. GHMC decided to entrust the task of floating bonds to SBI Capital Market Ltd.

Earlier such kind of bonds issued by Pune Municipal Corporation and were listed on the BSE . The bonds offered 7.59 percent interest.