SEBI Urges Odisha to Capitalize on Municipal Bonds for Urban Growth

SEBI Chairman Tuhin Kanta Pandey emphasizes the securities market's role in channeling funds for development, advocating for municipal bonds in Odisha to support urban infrastructure. Highlighting successes in other states, he calls for increased investor participation in mutual and municipal bonds to bolster city growth and development projects.

In a bid to bolster urban infrastructure growth, SEBI Chairman Tuhin Kanta Pandey has called for the adoption of municipal bonds as a financing tool in Odisha. Speaking at the Association of Mutual Funds Program, Pandey underscored the securities market's importance alongside banks in channeling savings into developmental initiatives.

Pandey pointed out the examples of Uttar Pradesh, Maharashtra, and Madhya Pradesh, which have effectively used municipal bonds for city-level development. He believes Odisha too can adopt this tool, transforming municipal bonds into a pivotal component of its development financing strategy.

The SEBI Chairman highlighted the growth in the domestic securities market from Rs 95 lakh crore in FY16 to an impressive Rs 463 lakh crore by April 2026. Despite this growth, Pandey noted that only a small percentage of households invest in market products, emphasizing the need for greater investor participation to ensure robust economic development.