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Revenue Bonds are a type of municipal bond issued by a government agency or authority to finance public projects such as infrastructure improvements, schools, or hospitals. These bonds are backed by the revenue generated from the project they are funding, rather than the issuer's taxing power. Investors in revenue bonds are repaid from the income generated by the project, such as tolls from a bridge or fees from a public utility. These bonds typically have higher interest rates than general obligation bonds due to the slightly higher risk associated with the revenue stream.