From Financialexpress · Ajay Joseph · · 1m 10s
NABKISAN's WASH Bond Funds Rural India
NABKISAN's Rs 180 crore WASH social bond targets rural water and sanitation access in India.
In brief
NABKISAN's Rs 180 crore WASH social bond targets rural water and sanitation access in India. NABKISAN Finance Ltd raised Rs 180 crore through a WASH-focused social bond to expand safe water and sanitation access in rural India. Originally reported by Financialexpress.
NABKISAN's WASH Social Bond
NABKISAN Finance Ltd, a subsidiary of NABARD, raised Rs 180 crore through a social bond dedicated to water, sanitation and hygiene in rural India.
“NABKISAN Finance Ltd, a subsidiary of the National Bank for Agriculture and Rural Development (NABARD), has raised Rs 180 crore through a social bond dedicated exclusively to the water, sanitation and hygiene (WASH) sector”
Bond Details
The five-year bond carries an 8.10% coupon rate and matures in September 2031, with CRISIL and CARE assigning AAA (Stable) ratings.
“The five-year bond carries a coupon rate of 8.10% and will mature in September 2.031”
Oversubscribed Issue
The bond was oversubscribed 1.8 times, indicating investor bids exceeded the Rs 180 crore amount being raised.
“The issue was oversubscribed 1.8 times, indicating that investor bids exceeded the amount being raised”
WASH Focus
The Rs 180 crore will expand access to safe water, sanitation and hygiene solutions in rural and underserved communities.
“The proceeds from the issue will be deployed to expand access to safe water, sanitation and hygiene solutions across rural and underserved communities”
Rural India Target
NABARD focuses on rural development, with the bond targeting communities lacking water and sanitation infrastructure.
“NABKISAN is a subsidiary of NABARD, the country's development finance institution focused on agriculture and rural development”
Investor Benefits
The bond provides a market-listed debt instrument with defined social impact, attracting capital for rural WASH projects.
“The bond's listing on the NSE gives investors a market-listed debt instrument, while the use of proceeds remains linked to WASH projects in rural and underserved areas”
Sustainable Finance Impact
The issue adds a WASH-focused instrument to India's sustainable-finance market, linking capital markets with rural development.
“The NABKISAN issue adds a WASH-focused instrument to India's sustainable-finance market”
Here's the gist
NABKISAN Finance Ltd raised Rs 180 crore through a WASH-focused social bond to expand safe water and sanitation access in rural India.
