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Consider the following statements about municipal bonds which were recently in news:
1. Municipal bonds can be issued by both the Urban Local Bodies as well as State Governments.
2. Municipal bonds can be issued only to institutional investors.
Which of the above statements is/are incorrect?
1 only
2 only
Both 1 and 2
Neither 1 nor 2
Municipal bonds are to be issued by the Urban Local Bodies to fund developmental projects. These municipal bonds can be issued to both public as well institutional investors. Hence, both the statements are incorrect and hence, answer is C.
By: Vishal ProfileResourcesReport error
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