Munday is located in Knox County. Cotton is the principal crop in this area and constitutes a significant portion of the local economy. The city is also well-known as a center for vegetable processing, since irrigation encouraged local farmers to raise potatoes, onions, melons, cucumbers, and other produce. Attractions in the city include antique shops and a nine-hole golf course. The City of Munday is served by the Munday Consolidated Independent School District.