Masala bonds issue rocks Ker Assembly

The Kerala Assembly Tuesday witnessed heated exchange of words between Finance Minister T M Thomas Isaac and members of the opposition Congress-led UDF over the masala bonds sold by the Kerala Infrastructure Investment Fund Board (KIIFB).

While the opposition alleged lack of transparency and clarity in the issue of the bonds and its high interest rate would push the state into a debt trap, Isaac rejected the charge and said it would help accelerate the state's infrastructure development.

The Congress-UDF also urged the Left government to table in the House all records pertaining to the sale of masala bonds.

A state government agency, KIIFB, had recently raised Rs 2,150 crore through its debut masala bond issue as part of its plan to mobilise Rs 50,000 crore to fund large and critical infrastructure projects in the southern state.

Chief Minister Pinarayi Vijayan had rung the opening bell at the London Stock Exchange (LSE) earlier this month to mark the listing of the ...