Ontario rating cut by Moody's on persistent fiscal challenges - 2018-12-14

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F94.png Ontario rating cut by Moody's on persistent fiscal challenges December 14, 2018, Esteban Duarte, Toronto Star

The Canadian province of Ontario had its credit rating cut by Moody's Investors Service which cited "fiscal challenges" ahead for the world's largest subsovereign borrower.

The province's long-term debt rating was cut one notch to Aa3, the first cut from the New York-based ratings company in six years. That gives Ontario Moody's fourth-highest investment grade rating, still one level higher than Standard & Poor's, which cut its rating in 2015.

While the province has not presented a multi-year budget plan, Moody's expects that Ontario will extend a streak of deficits that began in 2008-09, analyst Michael Yake said in a report Thursday. "Financing requirements for deficits and capital expenditures will result in an increase in the province's already elevated net direct and indirect debt level."

Wikipedia cite:
{{cite news | first = Esteban | last = Duarte | author2 = Paula Sambo | title = Ontario rating cut by Moody's on persistent fiscal challenges | url = https://www.thestar.com/business/2018/12/14/ontario-rating-cut-by-moodys-on-persistent-fiscal-challenges.html | work = Toronto Star | date = December 14, 2018 | accessdate = May 30, 2019 }}