Municipalities sold the second-heaviest slate of debt in the history of public finance in 2009, boosted by federal legislation that tapped into a reservoir of demand for state and local government credit in other markets.

Just a year after financial crisis cast a cautionary pall over the market, municipalities closed out 2009 having floated $409.13 billion in debt, according to ­Thomson ­Reuters.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.