Top ‘AAA’ Credit Rating Reaffirmed by Standard & Poor’s Ratings Services
International bond rating agency Standard and Poor’s (S&P) has awarded the City of Saskatoon its top rating of ‘AAA’/Stable. Every year, S&P reviews the City’s finances and delivers a rating in a report based on that study.
“Standard and Poor’s believes the City demonstrates what they view as good political and managerial strength, and this is evidenced in our very lengthy track-record of balancing budgets and meeting goals for the City,” says His Worship Mayor Donald Atchison. “Our financial management is strong, and our financial policies are well-planned and prudent. We time and time again demonstrate our stability.”
Standard & Poor’s notes, “…the stable outlook reflects expectations that, throughout the two-year outlook horizon, Saskatoon will continue benefiting from a very strong economy, and maintain exceptional liquidity and very strong budgetary flexibility.”
“Once again, this is excellent news,” says Chief Financial Officer Kerry Tarasoff. “The ‘AAA’ rating will continue to provide the City with the financial certainty and budgetary flexibility necessary to maintain and add infrastructure as we grow toward half a million people.”
“The City’s budgetary performance has historically been stable and very strong, in our view,” the agency notes. As S&P continues to view the financial outlook for Saskatoon as stable, it further outlines that even with a downturn in the resource sector somewhat affecting Saskatoon’s economy, the City’s revenue structure will be able to mitigate this impact.
The agency also points to the City’s transparency: “…good, annual financial statements and robust annual operating and capital budget documents…” as other reasons to award the rating.
The City has received the ‘AAA’/stable credit rating every year for more than a decade allowing the City to borrow money at lower interest rates.
View the full report from Standard & Poor’s on saskatoon.ca.
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