HUDCO and Government of Odisha Sign MoU for Rs 1,00,000 Crore Urban Infrastructure Financing
Housing and Urban Development Corporation Limited (HUDCO) and the Government of Odisha signed a Memorandum of Understanding (MoU) on July 10, 2026, in Bhubaneswar. The agreement is set to facilitate financing and planning for various housing and infrastructure projects across the state.Under the MoU, HUDCO commits to providing term loans amounting up to Rs 1,00,000 Crore (Rupees One Lakh Crore). These funds are designated for use over a period of five years to support multiple urban initiatives in Odisha.
The financial commitment covers projects falling under the Urban Fund (UCF), as well as those within the Bhubaneswar-Cuttack-Puri-Paradeep Economic Region (BCPPER) and the Mukhyamantri Sahari Vikas Yojana (MSVY). The loans are earmarked for various Urban Infrastructure Projects, including necessary land acquisition.
Beyond financial support, HUDCO is committed to capacity building through its UiWIN initiative. This includes offering Project Preparation and Capacity Building support as required by the State Government or relevant Agencies. Support provided encompasses technical structuring, prefeasibility preparation of Detailed Project Reports (DPR), asset register creation, financial modelling, VGF support for bankable urban infrastructure projects, and outcome-based training and knowledge sharing for Urban Local Bodies (ULBs).
The MoU outlines structured terms regarding loan repayment and duration. The loans will be provided in tranches with flexible terms and conditions, including a moratorium period. Borrowers benefit from a flexible repayment schedule stretching up to 25 years, and there is an option for prepayment by any statutory authority designated by the State Government of Odisha.
Repayment mechanisms are defined to ensure timely payments back to HUDCO. This includes escrowing the revenue generated from the project or ringfencing other sources of revenue derived from identified receivables or the state budget. The MoU itself is valid for three years from the date of execution, subject to annual review.
Key details of the partnership are summarized below:
| Feature | Detail |
|---|---|
| Partnering Entities | HUDCO and Government of Odisha |
| Total Loan Commitment | Rs 1,00,000 Crore |
| Loan Duration | 5 years |
| Maximum Repayment Period | Up to 25 years (flexible) |
| Key Projects Covered | UCF, BCPPER, and MSVY in Odisha |
| Additional Support | Project Preparation and Capacity Building via UiWIN initiative |
HUDCO Stock Price Movement
Housing & Urban Development Corporation Limited shares edged higher on Friday, gaining 0.61% to settle at ₹206.96 in the close. The stock traded on a volume of 1.98 million shares, having ranged during the session between a low of ₹205.55 and a high of ₹208.95.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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