Sebi Unveils eLearning Course on Municipal Bonds for Urban Development

Sebi has launched an eLearning course on municipal bonds to educate municipal officials on using these bonds as financing tools for development. The course, created with NISM, covers funding mechanisms, regulatory guidelines, and more, and will be free until March 2025.

The Securities and Exchange Board of India (Sebi) has introduced an eLearning course aimed at municipal officials. The course is designed to equip them with the skills needed to effectively utilize municipal bonds as a developmental financing tool. Developed in partnership with the National Institute of Securities Markets (NISM), the course targets enhancing understanding of this financial instrument.

Municipal bonds, also known as 'muni bonds,' are debt securities issued by local governments primarily to fund infrastructure projects like roads and schools. The course provides a comprehensive overview of alternative funding strategies, regulatory requirements for bond issuance and listing, and the roles of key market participants. Participants will also learn about project identification, investor engagement, the escrow mechanism, credit ratings, and the concept of green and social impact bonds.

This self-paced course offers expert-led video lectures, interactive quizzes, and real-world case studies. It will be available for free until March 31, 2025, after which a nominal fee will be charged, Sebi announced. Upon completion, participants will receive a certificate recognizing their proficiency in municipal bonds. The course promotes financial innovation and capacity building in urban governance, benefiting municipal and state-level officials involved in urban infrastructure and funding strategies.

(With inputs from agencies.)