The Greater Chennai Corporation (GCC) on Friday said it has raised ₹205.6 cr through its first Green Municipal Bond issue, which will be listed on National Stock Exchange, on 12th January 2026.
This marks GCC’s second municipal bond issuance in this financial year, and its first green bond, reflecting its focus on varied financing instruments.
The funds raised through the green bond will be utilised for the bio-mining and remediation of the Kodungaiyur Dumping Ground, a key environmental infrastructure project undertaken by GCC.
The project covers approximately 252 acres of the total 342.9 acre site and involves the scientific processing and removal of legacy municipal solid waste accumulated over several years. The total project cost is ₹648.4 crore, of which the GCC’s share is ₹385.6 crore.
“The issue witnessed an overwhelming response from the investor community, with the base issue of ₹100.03 crore being oversubscribed by 5.02 times. Bids worth ₹501.9 crore were received through the Electronic Bidding Platform of the National Stock Exchange (NSE), reflecting strong investor confidence in GCC’s financial credentials and project structuring,” GCC said in a statement.
The bond is raised for a tenure of 10 years at a highly competitive coupon rate of 7.95% p.a. The GCC green bond has been rated ‘AA+’ by CARE Ratings and Acuite Ratings.
Further, as a first-time issuer of a Green Municipal Bond, GCC is eligible for an incentive of ₹10 crore for every ₹100 crore raised, subject to a maximum of ₹20 crore, from the Union Government under the AMRUT 2.0 scheme. This effectively reduces the cost of borrowing, GCC said.