The municipal bond industry could benefit from several federal actions to provide regulatory relief as well as additional legislation from Congress to deal with the coronavirus emergency.
That’s the message from the National Association of Bond Lawyers in separate letters it has sent to congressional leaders on legislative suggestions and to the Treasury and Internal Revenue Service on regulatory actions.
…The $2 trillion emergency spending bill signed by President Trump on Friday authorized the Federal Reserve to begin purchasing municipal securities on the secondary market within 10 days. It also provides several tranches of financial assistance to state and local governments, the education sector, airports and transit systems.
NABL suggested that the federal government also be allowed to purchase new issues of tax-exempt bonds to allow access to the primary market by state and local government.
(Read more: The Latest)
