Guide To Buying Municipal Bonds -

: These are funded by revenues from a specific project, such as a toll road, airport, or water treatment plant. They carry more risk if the project fails to generate expected income but often offer higher interest rates.

: The Union Budget 2026-27 introduced a ₹100 crore incentive for any city issuing bonds exceeding ₹1,000 crore. This is expected to bring higher-tier cities like Ahmedabad, Surat, and Bengaluru into the market with better liquidity. guide to buying municipal bonds

: Current yields for municipal bonds typically range between 7.5% and 10% , which is often higher than traditional fixed deposits (FDs). : These are funded by revenues from a

: Analysts expect the Reserve Bank of India (RBI) to keep interest rates relatively stable through 2026, making steady income from bonds more attractive than chasing capital gains. 3. Tax Benefits and Implications Understanding General Obligation Bonds - Investopedia This is expected to bring higher-tier cities like