Pooled finance, Credit enhancement

Welcome to Infrastructure Professionals Enterprise (P) Ltd. [ IPE ]

CLIENT		United State Agency For International Development (USAID)

PROJECT		Partial Risk Guarantee for Tier II Municipalities of Tamil Nadu

ABOUT THE PROJECT		The FIRE project funded by USAID was a joint program of India and USA to promote technical assistance and reforms in the urban sector. As part of the ongoing project, short-term consulting assignments were taken up. The development credit authority (DCA) which is part of the U.S. government along with USAID had planned to develop a pooled finance municipal bond market in India for accessing funds from the capital market for Tier II municipalities in India by providing partial risk guarantee

TIME PERIOD		6 months

SERVICES		• Designed the structure and pooled finance mechanism for Tier II municipalities in Tamil Nadu; • Reviewed and suggested improvement measures in Legal framework governing the financial sector in the state; • Performed credit enhancement and initial project selection and appraisal; • Concept note, memorandum of information and analysis of various options, rates; • Made presentations to and held discussions with officials of Urban Ministry (Centre and State), rating agencies, officials from DCA (Washington) and related agencies.

KEYWORDS		Pooled finance, Credit enhancement