UP to issue Rs 10,000 cr of bonds against discoms' debt

This is the second issuance by the state under the provisions of UDAY

One of the largest indebtors in the power distribution sector, Uttar Pradesh will issue bonds worth Rs 10,000 crore against the debt of its discoms which it took over.

This is the second issuance by the state under the provisions of the Ujwal Discoms Assurance Yojana (UDAY) agreement, which aims to restructure the financials of beleaguered power distribution companies.

Uttar Pradesh was the first state to issue bonds during the past financial year. Till July last year, it had issued bonds totalling Rs 24,000 crore in three tranches. India Ratings and Research (Ind-Ra) assigned UP Power Corporation’s proposed bonds the rating of