MCH to seek Centre nod to float bonds

By Our Staff Reporter

HYDERABAD, AUG. 17. The Municipal Corporation of Hyderabad (MCH) has received a credit rating of `aa + (so)' from CRISIL, and it is seeking the Centre's permission to float tax free bonds to the tune of Rs. 100 crores.

In addition, the corporation has finalised a capital project for undertaking developmental works in the city pegged at Rs. 200 crores. This project would be submitted to the Chief Minister, Mr. N. Chandrababu Naidu, for sanction of the required funds. The project is expected to be implemented over a period of two to three years.

Disclosing this to newsmen after the weekly high-level Coordination Committee visit in the city on Friday, the MCH Commissioner, Dr. P.K. Mohanty, said the CRISIL had awarded the Municipal Corporations of Ahmedabad and Nasik a rating of `aa (so)' and Bangalore - `a (so)'. The MCH was asking for a tax-free bonds so that citizens could enjoy the benefits. This would make it a `very safe bond', he added.

Also, while Ahmedabad had a State Government guarantee and Nasik an octroi permission, the MCH felt that it did not actually require such a guarantee as it could manage on its own. He said an Escrow account would be created using the revenue received in the form of professional tax, non-residential property tax, town- planning, surcharge on stamp duty amd trade licences.

He said it was decided to use revenue through residential property tax for provision of civic services while other revenues would be used only for developmental works. Dr. Mohanty said that a major drive would be taken up for widening 20 roads in the city shortly. This apart, plantation would be given top priority during rainy season.

He said a plan was being prepared with both a short-term and a long-term perspective, in line with the State's Vision-2020. The plan envisages development of bridges, flyovers, road over- bridges, under-bridges and subways, open spaces, conservation and management plan, a heritage conservation plan, conservation of lakes, nalas, rocks, green space and other natural habitats.

Earlier, the committee inspected the road-widening work in Punjagutta and the plantation and beautification work before the Hyderabad Public School in Begumpet. Officials also inspected beautification work at the Thyagaraya Statue on the Tank Bund and the plantation works at the Indira Park.

Others present included the Metrowater Board Vice-Chairman and Managing Director, Mr. M.G. Gopal, Additional Commissioner -MCH, Mr. R.P. Sisodia, Special Officer for the Charminar Pedestrianisation Project, Mr. Omar Jaleel, and others.

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