New Delhi, Oct 13 (PTI) The Inland Waterways Authority of India (IWAI) has raised Rs 660 crore through bonds and the proceeds will be utilised exclusively to develop National Waterways, the government said today.

“The IWAI has raised Rs 660 crore as ‘GOI Fully Serviced Bonds’. The resources raised by way of bonds are in addition to the budgetary support from the Government of India. The Government had taken a decision to enable IWAI to raise Rs 660 crore through GOI Fully Serviced Bonds in 2017-18,” Ministry of Shipping said in a statement.

The IWAI had engaged arrangers, credit rating agencies, registrars and trustees prior to raising the bonds.

Both CRISIL and CARE rated the proposed instrument of IWAI as “AAA: STABLE”.

“The e-bidding for raising the bonds was organised on 11th October, 2017 on the BSE Portal with the issue size of Rs 300 crore and Green Shoe option of Rs 360 crore,” the statement said.

It said the issue was oversubscribed and the entire amount of Rs 660 crore has been raised in single tranche at a coupon rate of 7.47 per cent.

“The proceeds from the Bonds are intended to be utilised by IWAI exclusively for capital expenditure for development of National Waterways (NWs) under National Waterway Act, 2016 during 2017-18,” the statement said.

Parliament recently had given nod to declare 106 rivers across the country as National Waterways in addition to the existing 5.

This is published unedited from the PTI feed.