Markets regulator Sebi on Wednesday launched an eLearning course on municipal bonds to equip officials of municipal corporations and urban local bodies with the knowledge and practical skills to leverage such bonds as a tool for financing development projects. The course has been conceptualised and designed by Sebi in collaboration with National Institute of Securities Markets (NISM).
Municipal bonds or muni bonds are referred as debt securities issued by urban local government and agencies to fund day-to-day obligations and to fund finance capital projects like highways, roads and schools.
The course aims to familiarise the municipalities and urban local bodies with the nuances of the alternative funding mechanisms, regulatory provisions for issuance and listing of municipal bonds and related compliances, roles and responsibilities of key market intermediaries, importance of project identification and investor outreach, escrow mechanism, credit rating, and concepts of green municipal bonds and social impact bonds, among others.
The course is a self-paced 10-hour course which includes expert-led video lectures, interactive quizzes, and real-world case studies. The course is available for free till March 31, 2025, and thereafter at a nominal fee, the Securities and Exchange Board of India (Sebi) said in a statement.
After successful completion of the course, participants will be awarded a certificate, validating their expertise in municipal bonds.
The course launched, at a programme organised recently at the IIM Lucknow campus, proposes to foster financial innovation and capacity building in urban governance among the participants.
While the course is designed for the officials at municipal corporations and urban local bodies, it will be equally beneficial for state-level regulatory officials, finance department officials, policymakers and advisors engaged in urban infrastructure development and funding strategies.
In January 2022, Sebi launched an information database and repository on municipal bonds.
