NABKISAN Finance Ltd, a subsidiary of NABARD (National Bank for Agriculture and Rural Development), has raised ₹180 crore through a social bond dedicated exclusively to Water, Sanitation and Hygiene (WASH). The bond was listed on the National Stock Exchange (NSE), Mumbai, on October 1, 2026, and was oversubscribed 1.8 times, indicating strong investor demand.
The five-year bond carries an 8.10% annual coupon rate and will mature in September 2031. It has received the highest domestic credit ratings of CRISIL AAA (Stable) and CARE AAA (Stable). The funds will be used to expand access to safe water, sanitation and hygiene solutions in rural and underserved communities, with the aim of improving health, livelihoods and quality of life. However, the current announcement does not provide a project-wise allocation of the ₹180 crore or specify the number of villages and beneficiaries. The initiative provides a capital-market financing mechanism for WASH projects, linking investor funding to a defined social-development purpose rather than general corporate expenditure. NABKISAN said the bond demonstrates how capital-market instruments can mobilise resources for development sectors while generating measurable social impact.
Water.org served as the technical adviser and knowledge partner for the transaction. Representatives from NABARD, NABKISAN, Water.org, Trust Group and NSE participated in the Mumbai listing ceremony. The issuance is significant for India’s sustainable-finance market, as it links capital-market funding with rural water and sanitation needs and creates an alternative mechanism for financing inclusive and sustainable development.
Source: Financial Express