Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Auckland Council’s strong credit ratings reaffirmed

Media release
26 November 2012

Auckland Council’s strong credit ratings reaffirmed by international agencies

Two of the world’s largest credit rating agencies have reaffirmed Auckland Council’s credit ratings, following annual reviews, leaving the biggest local body in Australasia as one of the highest-rated entities in New Zealand.

Moody’s credit rating agency today affirmed council’s rating of “Aa2” with a stable outlook, while Standard & Poor’s affirmed the council’s long-term rating of “AA” and short–term rating of “A1+” last week.

Standard & Poor’s noted in its report Auckland Council’s capable and conservative financial management, strong and diversified economy, high budget flexibility, supportive institutional framework and positive liquidity position.

The Mayor has welcomed the news saying it is a real acknowledgment of the council's financial prudence.

"Retaining our credit rating as before is positive news amidst a global environment of uncertainty with many organisations facing rating downgrades," says Len Brown.

"Auckland Council has carefully balanced the need for keeping debt levels as low as possible while making the investment required to cope with the growth being experienced as Auckland becomes a truly international city.

“It is pleasing that Standard & Poor’s has noted the important role of the Auckland region in New Zealand’s economy as the country’s financial and economic hub.”

Moody’s noted New Zealand’s well-established and stable institutional framework for local government, the close relationship between Auckland Council and Central Government and Auckland’s large and diversified economy. Its rating takes into account the increasing debt levels relating to major upgrades in transit and water infrastructure.

Auckland Council remains one of New Zealand’s highest-rated organisations; its credit ratings are better than the major domestic banks and similar to other local government bodies.

Auckland Council’s Standard & Poor’s rating is one notch below New Zealand Government’s domestic credit rating of “AA+” and on par with its foreign currency credit rating of “AA”. The AA rating is the third-highest on the Standard & Poor’s credit rating scale.

The Moody’s rating is two notches below the NZ Government’s “AAA” credit rating but remains the third-highest rating on the Moody’s credit rating scale.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Scoop Images:
Dame Patsy Reddy Sworn In As Governor-General

This morning Dame Patsy Reddy was sworn in as the New Zealand Realm’s 21st Governor-General. The ceremony began with a pōwhiri to welcome Dame Patsy and her husband Sir David Gascoigne to Parliament. More>>

ALSO:

Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>

ALSO:

With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>

ALSO:

Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>

ALSO:

Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>

ALSO:

Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>

ALSO:

More Justice & Corrections

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news