REC gets CBDT nod for ₹5,000 crore Zero Coupon Bond

05 Jun 2025 CW Team

REC has received approval from the Central Board of Direct Taxes (CBDT) to issue Zero Coupon Bonds (ZCBs) worth Rs 50 billion. The Maharatna PSU under the Ministry of Power was notified via CBDT Notification No. 52/2025 dated 30 May 2025.

The approved issuance includes five lakh ZCBs with a tenure of ten years and six months. These bonds, issued at a deep discount and redeemable at face value, offer tax benefits under the Income-tax Act, 1961—making them attractive to a wide investor base.

REC’s earlier Rs 50 billion ZCB issuance in FY 2024–25 was oversubscribed nearly seven times. It was priced at a yield of 6.25 per cent, roughly 100 basis points below market rates, setting a new industry benchmark.

The success helped REC diversify its investor pool while reducing borrowing costs. With the latest approval, REC continues its strategy of leveraging innovative funding tools to meet India’s energy infrastructure needs.

Infrastructure Transport

06 May 2026

Pune To Build Nine Km Link Road Between Highways

The Pune Municipal Corporation (PMC) has decided to appoint an expert to plan the development of a nine km long, 60 metre wide road from Khadi Machine chowk to Wadki chowk as an extension to the Katraj-Kondhwa road to link the Mumbai-Satara and Pune-Solapur national highways. The scheme is intended to divert heavy vehicle traffic away from the city and improve access between the two arterial routes. The project has been prioritised by the PMC and forms part of a larger set of schemes in which 19 roads have been identified for development at a combined cost of Rs 9.82 billion (bn) to address c..

Barabanki Bahraich Six Lane Highway Approved in Uttar Pradesh

The Uttar Pradesh government has approved construction of a new six-lane highway linking Barabanki and Bahraich as part of National Highway 927, and the cabinet has cleared the project. The alignment will pass through Mustafabad and Kaiserganj and extend for about 101.5 km, creating a key corridor for local and long-distance movement. The National Highways Authority of India will oversee the work and has signalled the scheme is intended to strengthen regional connectivity and cross-border access to Nepal. The project carries an estimated total cost of Rs 69,690 million, equivalent to Rs 69.69..

Toll At Kharegaon Likely As Highway Upgrade Nears Completion

A section of the highway at Kharegaon has undergone an upgrade and is approaching completion, and authorities have indicated plans for a toll to be introduced once works finish. The project has focused on strengthening the carriageway, improving drainage and upgrading intersections to enhance safety and capacity. Officials have said the toll will be used to recover construction costs and fund ongoing maintenance. The upgrade included resurfacing of the pavement, widening of certain stretches and installation of modern signage and lighting to reduce accident risk. Contractors completed most ma..