HARRISBURG – Fitch Ratings has upgraded Pennsylvania’s credit rating to ‘AA’ from ‘AA-,’ building on positive credit rating outlooks from Moody’s and S&P’s Global Ratings in September. This fiscal progress comes as the result of a growing economy, balanced 2023-24 budget, and responsible financial management.
Pennsylvania’s credit rating was upgraded as a result of “recent use of revenue surpluses to build its reserves to historical highs” and Fitch’s expectation that substantial reserves will be maintained in the near term. Fitch’s assessment found that Pennsylvania deserved the credit rating upgrade thanks to “improved operating performance, as well as a low long-term liability burden and broad flexibility to manage spending pressures, which offset modest baseline revenue growth and a historically contentious decision-making environment.”
“With our third positive affirmation in the last three months that Pennsylvania is on the path for economic and financial success, it’s clear that our responsible investments are working to keep the Commonwealth on a sound fiscal trajectory while supporting Pennsylvania families,” said Secretary of the Budget Uri Monson.
The Commonwealth has also been awarded the Distinguished Budget Presentation Award for the Annual Budget for fiscal year 2023-24 and the Certificate of Achievement for Excellence in Financial Reporting – the highest form of recognition in governmental accounting and financial reporting – from the Government Finance Officers Association.
