Overview

• The Greater Chennai Corporation listed ₹200 crore of municipal bonds on May 26 with a 10-year tenure at a 7.97% interest rate.
• Investor demand drove subscriptions to ₹421 crore, or 4.21 times the base issue size, reflecting strong confidence in the city’s finances.
• Proceeds will partially finance the ₹3 059 crore Integrated Storm Water Drainage Project in the Kosasthalaiyar basin, and over half of its 46 packages are now complete while 18 remain under execution.
• Credit rating agencies India Ratings and Acuité assigned the bonds an AA+ rating and the corporation secured a ₹26 crore incentive under the AMRUT 2.0 scheme.
• The GCC is preparing a follow-on bond issue to help fund a ₹822 crore multi-modal facility at the Broadway bus stand.