Guide To Buying Municipal Bonds May 2026

: These are backed by the "full faith and credit" of the issuing city or state. They rely on the municipality's general taxing power (like property taxes) to repay bondholders.

: 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. guide to buying municipal bonds

: A growing category in 2026, these specifically fund "green" projects like solar parks or electric bus fleets. 2. Market Outlook for 2026 : These are backed by the "full faith