Three compelling reasons why the government should consider CMBs, especially during the pandemic.
As the growth in COVID-19 cases accelerates quickly in the U.S., the pandemic will gravely impact public health across the world and cause a significant slowdown in the world economy. Businesses and households will feel the financial impacts of widespread “stay at home” orders immediately. The impact on governments will lag by several months to a year, as sales taxes and then income taxes decline.
As governments and financial institutions begin to consider creative means to aid in recovery efforts, they should take a serious look at Cannabis Municipal Bonds (CMBs).
Nationwide, growth has been tied to both the opening and maturing of cannabis markets, with U.S. legal sales estimated to reach $23B by 2022. If implemented correctly, regulated adult-use markets should experience rapid growth in the first four to six years as the illicit market is absorbed into the regulated market.
That is why we developed a report with an analysis of how CMBs could work and why they are just the idea we need to make up for lost revenue in this health crisis.
Here are three reasons:
greenentrepeneur.com
by Salmeron Barnes
GUEST WRITER
Managing Director, MPG Consulting
May 11, 2020 4 min read