Lucknow Municipal Corporation Bond, included within the list of BSE
Lucknow Municipal Corporation (LMC) did the bond listing on Wednesday (December 02) by Uttar Pradesh chief Minister Yogi Adityanath on the Bombay stock market . CM Yogi Adityanath listed it by playing the bell. With this, Lucknow Municipal Corporation (LMC) has become the primary Municipal Corporation of North India to issue bonds. Explain that the Lucknow Municipal Corporation bond is worth 200 crores. allow us to know what are the municipal bonds and the way the Municipal Corporation raise money from them?
CM Yogi Adityanath rings the bell at BSE at the listing of bonds of Lucknow Municipal Corporation will help to boost foreign investment
According to Lucknow Municipal Commissioner Ajay Dwivedi, investors also will enjoy the bonds of Lucknow Municipal Corporation ie LMC. He said that investors will get 8.5% interest annually thereon . Its maturity period is 10 years. He said that after the launch of the bond, the image of Lucknow Municipal Corporation also will change and it’ll also help in raising investment from India and abroad.
Let’s know what are the bonds : A bond may be a sort of mastercard , under which funds are raised from the overall public or institutions. The bond issuing institution borrows the cash for a hard and fast period of your time and guarantees to return the principal with a hard and fast return.
Why is LMC issuing municipal bonds?
In simple language, the municipal corporations of the town , ie the urban bodies, issue municipal bonds. Everyone knows that tons of cash is spent on development works in big cities. Government support can only be up to a limit and in such a case the bodies issue municipal bonds. the cash that comes from this exercise is spent on the event of the town . At the instant such a move is taken into account a really good choice to raise money.
UP government planning is extremely big: allow us to tell you that such bonds are proving to be an honest means of collecting money for municipal corporations. After Lucknow, the UP government also can implement an equivalent plan for Ghaziabad, Varanasi, Agra and Kanpur. The Lucknow Municipal Corporation has raised Rs 200 crore through private placements before listing the bonds. the govt is extremely excited by this and is planning for other cities.
Bollywood actor Akshay Kumar also met Uttar Pradesh Chief Minister Yogi Adityanath on Tuesday at Mumbai’s Trident Hotel. The two are likely to dine tonight. Adityanath arrived in Mumbai late today for a mega-shopping blitzkrieg in the country’s commercial and entertainment capital. The CM’s visit is to attract big money, big business and big glamour as his takeaways, presenting a brand-new face.