HUDCO (Housing and Urban Development Corporation) recently launched tax bonds through the issue .These tax free bonds are in the nature of secured, redeemable and non-convertible debentures

HUDCO provides long term finance for construction of houses for residential purposes or finance or undertake housing and urban development programmes in the country;

Finance or undertake, wholly or partly, the setting up of the new or satellite towns; to undertake business of Venture Capital Fund in Housing and Urban Development Sectors facilitating Innovations in these sectors and invest in and/or subscribe to the units/shares etc. of Venture Capital Funds promoted by Government/Government Agencies in the above areas.