Rs 90,000 crore for projects and a credit guarantee window: how the Urban Challenge Fund Kochi is applying to is built

Background

Kochi Municipal Corporation has sent up a concept note for the Urban Challenge Fund, so the fund's own design is worth knowing.
The fund carries central assistance of Rs 1 lakh crore and is meant to pull in about four times that much, nearly Rs 4 lakh crore of urban investment.
It is split three ways: Rs 90,000 crore for projects, Rs 5,000 crore for project preparation and capacity building, and Rs 5,000 crore for a Credit Repayment Guarantee Sub Scheme that helps smaller cities reach credit.
Central assistance is capped at 25 per cent of a project's cost, and at least half the money must come from municipal bonds, bank loans and public private partnerships.
The fund runs from the financial year 2025-26 to 2030-31 and is tied to the Viksit Bharat @2047 goal.
Union Minister for Housing and Urban Affairs Manohar Lal released the operational guidelines, with Ministry Secretary Srinivas Katikithala present.