Pimpri-Chinchwad Becomes India's First Municipal Corporation to Raise Funds from the Capital Market : CM Fadnavis

 Pimpri-Chinchwad Becomes India's First Municipal Corporation to Raise Funds from the Capital Market : CM Fadnavis

Listing Ceremony of Pimpri-Chinchwad Municipal Corporation’s Green Bonds Held at Bombay Stock Exchange

Mumbai, June 10 : Chief Minister Devendra Fadnavis today announced that Pimpri-Chinchwad has become the first municipal corporation in India to raise funds through the capital market by issuing green bonds, thus setting a national precedent. He emphasized that Prime Minister Narendra Modi has consistently urged municipal corporations to become financially self-reliant, and this initiative by the Pimpri-Chinchwad Municipal Corporation (PCMC) is a commendable response to that vision.

The listing ceremony of the PCMC’s green bonds was held at the Bombay Stock Exchange (BSE) International Convention Hall. The event was graced by Deputy Chief Ministers Eknath Shinde and Ajit Pawar, MLAs Mahesh Landge, Shankar Jagtap, Amit Gorkhe, Uma Khapre, Chief Secretary Sujata Saunik, Mumbai Municipal Commissioner Bhushan Gagrani, PCMC Commissioner Shekhar Singh, Additional Chief Secretary Asim Gupta, Principal Secretary Dr. K. Govindaraj, and BSE MD Sundaram Ramamurthy.

Speaking at the event, CM Fadnavis stated that the green bonds issued by PCMC received an overwhelming response from investors. Within minutes of issuance, investments worth ₹100 crore were made, and the demand surged to over five times the issued amount, garnering total bids worth ₹513 crore. The bonds have a five-year maturity with a competitive interest rate of 7.85%, reflecting strong investor confidence in green infrastructure.

He added that listing bonds on the share market involves a complex regulatory process, requiring compliance with corporate conditions, which the corporation successfully fulfilled. The funds raised will be used for sustainable and eco-friendly infrastructure development, including the Green Setu Project in Nigdi Pradhikaran and the Telco Road Project from Gawalimatha to Indrayani Nagar Chowk.

The Central Government has also awarded an incentive grant of ₹20 crore to the municipal corporation for successfully issuing green bonds. CM Fadnavis congratulated the entire PCMC team for this achievement.

Quick Facts About the Green Bonds :

• Total funds raised : ₹200 crore through private investment on BSE’s electronic bidding platform.
• Initial subscription : ₹100 crore within one minute of issue.
• Total bids received : ₹513 crore, 5.13 times the original issue.
• Credit Rating : ‘AA+’ by CRISIL and CARE.
• Projects funded :
• Green Setu Project, Nigdi
• Road development project from Gawalimatha to Indrayani Nagar Chowk.

0000