In a significant step toward strengthening India’s urban infrastructure financing ecosystem, the Securities and Exchange Board of India (SEBI) organized a Municipal Bond and REIT/InvIT Outreach Programme in Raipur, Chhattisgarh on October 30, 2025. The initiative aimed to empower Urban Local Bodies (ULBs) and state government departments with deeper knowledge and practical insights on leveraging municipal bonds, Real Estate Investment Trusts (REITs), and Infrastructure Investment Trusts (InvITs) for sustainable urban development.
Empowering ULBs for Capital Market Access
The outreach programme brought together senior officials from 14 Urban Local Bodies, including Raipur, Bilaspur, Bhilai, and Raigarh, alongside representatives from the Urban Administration and Development Department, Finance Department, and the State Urban Development Agency. The timing of the event was particularly noteworthy, as the Municipal Corporation of Raipur had recently announced its plan to raise ₹100 crore through municipal bonds on October 24, 2025. This marked an important milestone for Chhattisgarh’s municipal financing journey, signaling growing confidence in tapping capital markets for infrastructure needs. The programme featured interactive sessions and case studies focusing on alternative financing avenues for urban infrastructure. Experts discussed key topics such as investor expectations, structuring bond issuances, and public asset monetization through REITs and InvITs — all crucial tools for scaling up urban projects without over-reliance on traditional budgetary support.
SEBI’s Vision for Urban Financial Empowerment
Addressing participants, Mr. Amarjeet Singh, Whole Time Member, SEBI, emphasized the transformative role of municipal bonds in creating sustainable and scalable urban infrastructure. He highlighted how India’s growing municipal bond market can enable cities to fund smart mobility, water, sanitation, and green energy projects efficiently. Mr. Singh also underlined the potential of public asset monetization through REITs and InvITs, which can unlock value from existing urban assets and attract long-term institutional investments. Such models not only help bridge funding gaps but also encourage professional management and transparency in public infrastructure development.
State Leadership and Collaborative Efforts
Ms. Sheetal Shashwat Verma, Special Secretary, Finance Department and Director, Directorate of Institutional Finance, Government of Chhattisgarh, urged ULBs to focus on strengthening their financial statements, developing revenue-generating projects, and training municipal staff to effectively raise and manage funds through bonds. Her remarks reinforced the importance of financial discipline and capacity building at the local level. On October 31, 2025, a follow-up meeting was held between SEBI and officials of the Government of Chhattisgarh, led by Mr. Basavaraju S, Secretary to the Chief Minister & Urban Administration and Development Department, and Ms. Verma. During this session, SEBI addressed specific concerns raised by municipal corporations and explored collaborative measures to enhance ULB participation in the bond market.
Driving Transparency and Sustainable Urban Finance
This outreach programme reflects SEBI’s continued commitment to fostering transparency, market readiness, and innovation in urban financing. By guiding ULBs on best practices in fundraising through securities markets, SEBI aims to empower cities to build resilient and future-ready infrastructure. The initiative also aligns with India’s broader goal of creating self-reliant urban economies, capable of financing their own development needs through capital market instruments. As more ULBs follow Raipur’s example, municipal bonds, REITs, and InvITs are set to become powerful tools driving India’s urban transformation story.