Auckland City moves to the top of the class

Auckland City Council has welcomed Standard & Poors’ decision to upgrade the council’s long-term credit rating to AA+.

The upgrade from AA with a positive outlook to AA+ with a stable outlook was announced this morning.

Standard and Poors said the expected significant reduction in the council’s net debt burden, the council’s strong operating performance, its ability to demonstrate conservative fiscal management, and support from a well-developed institutional structure of local councils in New Zealand, were the reasons for the credit upgrade.

In today’s announcement, Standard & Poors also reaffirmed the council’s short-term credit rating of A1+, the highest rate possible for short-term credit.

Councillor Douglas Armstrong, chairperson of the council’s Finance and Corporate Business Committee, says the Standard & Poors decision is a great achievement and wonderful news for the city’s ratepayers.

“There can be no doubt, in view of today’s announcement, that the council is managing the city’s finances in a prudent way and acting in the best interests of our ratepayers.

“Together with Christchurch and New Plymouth city councils, Auckland City now has the highest credit rating of any local authority in New Zealand.

“We have worked hard to be top of the class and I want to congratulate Auckland City’s chief executive and his team for their hard work in achieving this unprecedented result,” says Councillor Armstrong.

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