The Greater Chennai Corporation (GCC) is finalising a tentative project list for the ₹1 lakh-crore Urban Challenge Fund (UCF), and weighing multiple financing avenues, including municipal bonds, direct commercial loans, and multilateral funding, GCC Commissioner G.S. Sameeran said.The civic body anticipates a positive response from market players to fund the approximate quantum of capital required. The final borrowing option will be selected based on the cost and ease of borrowing, interest rates, tenure, moratorium period, and value-added services, it said.The tentative list includes projects such as the Integrated Solid Waste Processing Facility in Kodungaiyur, blue-green Infrastructure projects, and a cable-stayed bridge in Srinivasapuram.Describing it as the “next phase” of the city’s transformation, the GCC said in the proposal that while Chennai has implemented impactful civic projects, these interventions currently remain fragmented.The UCF mission spans from financial year 2025-26 to 2030-31, extendable by three years. It focuses on three major themes: ‘Cities as Growth Hubs’ to drive economic expansion, ‘Creative Redevelopment of Cities’ for urban renewal, and ‘Water and Sanitation’ to upgrade public health infrastructure.Of the total outlay, ₹90,000 crore has been allocated for capital projects; ₹5,000 crore for Project Preparation and Capacity Building Fund to finance the drafting of detailed project reports and strengthen institutional capabilities; and ₹5,000 crore for the Credit Repayment Guarantee Sub-Scheme that acts as a safety net for debt servicing.Each participating financial institution may submit a detailed proposal outlining the financing products, indicative commercial terms, eligibility conditions, and value-added services that can be offered to the GCC.GCC meetingThe GCC presented its project pipeline at a meeting convened with national financial institutions, banks, merchant bankers, and multilateral organisations on August 5.The Commissioner sought views on the market sentiment, noting that several projects would be executed under the Public-Private Partnership mode, with built-in revenue generation mechanisms for financial viability. Institutions were also urged to partner with the GCC through Corporate Social Responsibility programmes.‘Two bonds floated’GCC Deputy Commissioner (Revenue and Finance) Chitra Vijayan said the civic body had recently floated two municipal bonds, and noted that India Ratings had reaffirmed the AA+ rating for the GCC’s municipal bonds.Officials from the Financial Management Unit and Special Projects Department attended the proceedings.Meanwhile, some civic tenders, including that for the Velachery flyover project, are under process and will be finalised shortly, according to the GCC. Published - August 10, 2026 11:52 pm IST