Ratings agency Moody’s Investors Services has today confirmed the State’s credit rating remains unchanged at Aa2 (‘stable’ outlook).
This follows a recent announcement by S&P Global Ratings to also reaffirm the State’s rating (AA+ ‘negative’ outlook).
The report highlights that the debt burden is the highest among Australian States as a percentage of revenue. Any further widening in the deficit, without a strong policy response, could lead to further downgrades in the future.
The report reaffirms that this Government’s commitment to restraining spending growth is critical in meeting Budget repair objectives.