Himachal to Raise ₹700 Crore via Market Borrowing to Fund Development Projects
Shimla: The Himachal Pradesh government is set to raise ₹700 crore through a market loan to support a range of development schemes and infrastructure projects across the state. The borrowing will be carried out through the issuance of government securities, with an auction scheduled to be conducted by the Reserve Bank of India (RBI) on July 7.
According to a notification issued by the Finance Department, the state will offer government securities worth ₹700 crore through an electronic auction on the RBI’s e-Kuber platform. The funds mobilized through this borrowing will be used to finance ongoing development programmes, infrastructure expansion and other public welfare initiatives.
The bidding process has been scheduled in two categories. Competitive bids will be accepted from 10:30 am to 11:30 am, while non-competitive bids can be submitted between 10:30 am and 11:00 am on the day of the auction.
The securities will be issued on July 8, 2026, and will mature on July 8, 2039, giving investors a tenure of 13 years.
Government officials said such market borrowings are a routine part of state finances and play a crucial role in meeting funding requirements for capital expenditure and development works. Like other states, Himachal Pradesh periodically raises funds through government securities within the borrowing limits approved under its annual borrowing programme.
The latest borrowing is expected to help the state maintain the pace of infrastructure development and ensure adequate funding for projects aimed at improving public services, connectivity and overall economic growth.
