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