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Nashik Issues Maharashtra's First Public Green Municipal Bonds on NSE

The Nashik Municipal Corporation has listed Maharashtra's first-ever public issue of Green Municipal Bonds on the National Stock Exchange. The funds raised will be exclusively used for environmentally beneficial projects such as renewable energy, waste management, and sustainable water systems. This initiative supports India's broader objective of achieving net-zero emissions by 2047. The move follows earlier green bond issuances by municipal corporations in Ghaziabad and Indore for specific sewage and solar projects.

Key Points: Nashik Lists Maharashtra's First Public Green Municipal Bonds

  • First public Green Municipal Bond issue by a Maharashtra ULB
  • Funds earmarked for environmental projects like renewable energy and waste management
  • A step towards India's 2047 net-zero goal
  • Follows similar issuances by Ghaziabad and Indore
  • Bonds listed on the National Stock Exchange
2 min read

Nashik Municipal Corporation issued its first public Green Municipal Bonds; bonds listed on the NSE

Nashik Municipal Corporation lists state's first public Green Municipal Bonds on NSE to fund sustainable urban projects, with CM Devendra Fadnavis present.

"Congratulations to Nashik Municipal Corporation on listing of Maharashtra's ULB's 1st Public Issue of Green Municipal Bonds on NSE today. - NSE"

Mumbai, March 9

The Nashik Municipal Corporation listed Maharashtra's Urban Local Body's 1st public issue of Green Municipal Bonds on the National Stock Exchange today.

Posting on its social media, NSE congratulated Nashik Municipal corporation saying, "Congratulations to Nashik Municipal Corporation on listing of Maharashtra's ULB's 1st Public Issue of Green Municipal Bonds on NSE today."

Maharashtra's Chief Minister, Devendra Fadnavis, was also present at the ceremony.

Ashish Chauhan, the Managing Director of National Stock Exchange (NSE), presented a replica of the NSE Bell to Maharashtra's Chief Minister Devendra Fadnavis, ahead of the public issue of green bonds of Nashik Municipal Corporation.

Municipal Green Bonds are essentially the fixed-income debt securities issued by local governing bodies such as municipal corporations to raise capital exclusively for projects with positive environmental or climate benefits.

The funds raised through these bonds are generally used for urban infrastructure under the municipal corporation that supports sustainability. Renewable energy, waste management, clean transportation, sustainable water management, and climate resilience are among the areas where these funds can be used for the welfare of the urban community at large.

Like conventional municipal bonds, they represent a loan from an investor to a local government.

However, unlike general-purpose bonds, 100 per cent of the funds raised must be earmarked for "green" projects.

This move by the Nashik Municipal Corporation is a big step towards achieving India's goal of becoming net zero by 2047.

Ghaziabad was the first municipal corporation of India which has issued the green municipal bonds in 2021. The corporation raised Rs 150 crore to fund a tertiary sewage treatment plant. That marked a major step in the sustainable urban infrastructure.

Other than Ghaziabad, the Indore Municipal Corporation also issued bonds in early 2023 to fund a 60 megawatt solar power plant.

- ANI

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Reader Comments

P
Priya S
Great initiative, but transparency is key. The article says 100% funds must go to green projects. As a taxpayer, I hope Nashik Municipal Corporation will regularly update citizens on exactly which projects are funded and their progress. Accountability matters.
R
Rohit P
Ghaziabad did it first, then Indore, now Nashik. Good to see this trend catching on! Solar plants and sewage treatment are critical. Hope my city, Pune, is next in line. We desperately need sustainable solutions for our garbage and traffic problems.
S
Sarah B
As someone interested in sustainable investing, this is exciting. It gives common people a chance to invest in India's green future while earning a return. More awareness is needed so retail investors can participate. Well done, Nashik!
V
Vikram M
The Chief Minister being present shows the government's support, which is good. But the real test is execution. Many schemes start with a bell-ringing ceremony but fail in implementation. Let's hope the funds are used efficiently and not lost in bureaucracy.
M
Michael C
A practical step towards the 2047 net-zero goal. Financing is a major hurdle for green infrastructure. If municipal bonds can unlock capital for projects like clean transportation (electric buses, metro feeders), it benefits everyone. Smart move.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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