HUDCO, Govt of Gujarat ink MoU for Rs 1 lakh crore infrastructure financing

New Delhi: State-owned Housing and Urban Development Corporation Ltd. (HUDCO) has signed a Memorandum of Understanding (MoU) with the Government of Gujarat to provide financial assistance of up to Rs 1 lakh crore for identified infrastructure projects in the state over the next two years.

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The MoU has signed on June 17, in Gandhinagar, with the objective of supporting infrastructure development and accelerating the overall economic growth of Gujarat. Under the agreement, HUDCO will extend financial support for eligible infrastructure projects in accordance with its prevailing lending guidelines and norms.

As per the MoU, the proposed investment support amounts to Rs 1,00,000 crore, and the agreement will remain valid for two years commencing from May 2026. The Gujarat government will facilitate HUDCO in obtaining necessary permissions, registrations, approvals and clearances from the concerned state departments in line with existing policies and regulations.

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HUDCO said its financing across various sectors has the potential to create large-scale infrastructure development in the state. The company will offer funding on flexible terms and conditions, including a moratorium period and a flexible repayment schedule, to facilitate timely execution of projects.

The agreement was signed on behalf of the Government of Gujarat by Sandeep Kumar (IAS) Secretary (Economic Affairs), Finance Department, while Sanjay Kulshrestha, Chairman & Managing Director of HUDCO, signed on behalf of the corporation.

According to HUDCO, the MoU has been executed to facilitate financing of infrastructure projects in Gujarat in a time-bound manner and contribute to the state's economic development agenda.

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