Municipal Bond
/ˌmjuːnɪˈsɪpəl bɒnd/
Definitions
- (n.) A debt security issued by a local government or municipality to finance public projects, repayable from tax revenues or specific income streams.
The city issued a municipal bond to fund the new public school.
Forms
- municipal bonds
See also
Commentary
Municipal bonds are distinct in that they often benefit from tax-exempt status; drafters should specify the issuer and repayment source clearly.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.