SPRINGFIELD, Ill. (WCIA) — One of the three credit rating agencies has improved Illinois’ score.
Credit agency Moody’s Investors Service raised the rating of Illinois bonds to A3 from Baa1 Tuesday. An A rating means the company views the bonds as having a “stable outlook”.
The agency described the reasoning for increase is because the state is showing signs of improved management of its debt and is making conservative revenue assumptions.
“This credit upgrade, our second one this year, is the result of the steps we’ve taken in Illinois to put ourselves on firm fiscal footing,” Governor J.B. Pritzker said. “We have balanced our budget, paid our bills on time, cleared out decades of debt, made extra pension payments, and saved billions for a rainy day.”
S&P Global Ratings also raised its rating of Illinois last month.
“Investors can rest assured Illinois remains a sound investment,” Comptroller Susana Mendoza said. “A better credit rating means taxpayers pay less for the bonds that fund public infrastructure in Illinois.”
This is the eighth major upgrade in two years. The state received eight major downgrades during the 2015-2017 budget impasse.