HUDCO to Raise ₹5,000 Crores Through Zero Coupon Bonds for Infrastructure Projects

Housing and Urban Development Corporation Limited (HUDCO) has been allowed to raise funds by issuing Zero Coupon Bonds worth ₹5,000 Crores.

Key Features of the Bonds

• Name of Bond: Ten Year Zero Coupon Bond  
• Tenure: 10 years and 1 month  
• Issue Deadline: On or before 31st March 2027  
• Maturity Amount: ₹5,000 Crores  
• Discount Amount: ₹2,351.49 Crores  
• Total Bonds: 5,00,000 units  

Use of Funds

The money raised through these bonds must be used only for infrastructure projects. These projects should be able to repay the debt from their own earnings and should not depend on the State Governments for repayment.

Infrastructure refers to sectors listed in the Harmonised Master List prepared by the Department of Economic Affairs. This includes all current and future updates to the list.

About Housing and Urban Development Corporation Limited

Housing and Urban Development Corporation Limited is a government-owned company that provides financial assistance for housing and urban infrastructure projects in India. It plays a key role in supporting affordable housing, urban development and infrastructure growth across the country.

Read More: Hudco Share Price Jump Over 6% After Signing ₹1.5 Trillion MoU with MMRDA

Share Performance 

As of April 22, 2025, at 11:35 AM, Housing and Urban Development Corporation Limited share price is trading at ₹238.96 per share, reflecting a surge of 1.92% from the previous day’s closing price. Over the past month, the stock has surged by 14.27%. The stock’s 52-week high stands at ₹353.70 per share, while its low is ₹158.85 per share.

Conclusion

This bond issue by HUDCO is a major step towards boosting infrastructure development in India. By focusing on self-sustaining projects, it promotes responsible borrowing and reduces dependency on state funding.

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