16 smart cities are lining up plans to list their municipal bonds in the stock markets as civic bodies across the country plan to raise funds.
Pune’s Rs 200 crore municipal bonds issue will hit BSE on June 22. The government has granted permission to PMC to raise securities for Rs 2264 crore, it plans to raise bonds amounting to Rs 200 crore during the first tranche of its five-year bond programme.
Another 15 smart cities have already appointed transactional advisers. They will hit the market soon. Other cities include Jaipur, Jabalpur, Ahmedabad, Visakhapatnam, Indore, NDMC, Kakinada, Udaipur, Bhopal, Warangal, Kota, Bhiwadi, Kishangarh, Greater Hyderabad Municipal Corporation (GHMC) and Panaji.
Since the last 20 years, close to 30 municipalities have raised a total of Rs 1,353 crore via taxable bonds, tax-free bonds and pooled financing. Other cities which have taken the capital market route through municipal bonds include Bangalore, Ahmedabad, Nashik, Nagpur, Ludhiana, Visakhapatnam and Madurai.