Standard & Poor’s reaffirms triple-A and upgrades NSW to stable outlook

Published 15th October, 2014

Ratings agency Standard & Poor’s has today reaffirmed the State’s triple-A credit rating and upgraded NSW to a stable outlook, in a clear endorsement of the strong and stable fiscal management of the NSW Government.

NSW Premier Mike Baird and Treasurer Andrew Constance welcomed the announcement and said NSW now holds the highest possible credit rating from all three ratings agencies.

“Today’s announcement by Standard & Poor’s is another strong vote of confidence in this government and it shows we are making the right decisions to prioritise and deliver for the people of NSW,” Mr Baird said.

“We have got the Budget under control and instilled discipline across government while investing in those areas where it’s most needed.

“We inherited massive levels of debt a $30 billion infrastructure backlog. The State’s finances were on an unsustainable path.

“We made the difficult but right decisions at the time, and the ratings agencies have taken note.”

In removing its negative watch for NSW, Standard & Poor’s noted:

“The outlook revision reflects NSW's stronger financial management over recent years, which we have reassessed to be very strong from strong. This improved financial management, along with higher revenue growth, has boosted the state's financial performance.

“The ratings on NSW continue to reflect the extremely predictable and supportive institutional framework underpinning intergovernmental relations in Australia, NSW's wealthy and diversified economy, and the state's exceptional liquidity.”

“Today’s announcement by Standard & Poor’s illustrates why the decisions we’ve made as a government were vital to the State’s economic well-being, allowing us to re-invest in vital services and infrastructure, despite challenging economic conditions.”

Published 15th October, 2014