Cities, towns, public authorities, states and other public entities across the country issue bonds every year to finance vital public infrastructure such as sidewalks, parks, affordable housing, sewer, housing and more. Historically, the allocation of resources to infrastructure has at times reflected inequities in many communities. In recent years, a growing number of issuances in the $4 trillion municipal bond market have emphasized equity, equality, and other social outcomes as important factors in the context of a bond issuance, particularly among stakeholders who participate in sustainable and impact investment. Despite the sharp rise in the issuance of bonds that are meant to achieve racial equity, equity, or other positive social outcomes, many issuers are newly attentive to addressing systemic inequities via fiscal policies within their jurisdiction and some are starting to adopt promising practices to center racial equity and other social considerations in a bond issuance.

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