Ohio earns coveted “AAA/Aaa/AAA” ratings from all three major credit bureaus
COLUMBUS — Ohio Gov. Mike DeWine, Lt. Gov. Jon Husted and Ohio Office of Budget and Management Director Kimberly Murnieks announced Friday that S&P Global Ratings upgraded the state’s issuer default and general obligation bond ratings to “AAA,” citing Ohio’s demonstrated commitment to active budget management, building and maintaining reserves, significant state-supported economic diversification efforts, and a belief that the state can maintain better credit characteristics than the U.S. in a stress scenario.
This is the first time that Ohio has been rated “AAA/Aaa” by all three rating agencies.
“Achieving this rating from not just one, but all three major credit agencies is historic,” DeWine said. “This remarkable financial milestone underscores that Ohio is at the forefront of financial excellence and economic innovation. Our strategies are yielding tangible benefits, making Ohio a prime destination for businesses and families.”
In just over one year, S&P Global Ratings, Moody’s Investors Service, and Fitch Ratings upgraded Ohio’s issuer default and general obligation bond ratings to the highest ratings possible: “AAA/Aaa/AAA.”
“This third Triple-A rating is a testament to Ohio’s unmatched economic strength and fiscal responsibility,” Husted said. “Our budgetary leadership, combined with strategic investments in diverse sectors, has paid off immensely. We’re not just maintaining a balanced budget, we are fostering a flourishing economy that promises limitless opportunities for every Ohioan, now and in the future.”
“Under Governor DeWine’s visionary leadership, Ohio has reached new heights in financial stability and economic growth,” Murnieks said. “Our state’s financial foundations are more robust than ever, paving the way for continued prosperity and growth. Ohio’s journey of strategic and intentional financial planning has led us to this pinnacle of success and has firmly established our state as a leader in fiscal management. All Ohioans will benefit from the cost savings that will be realized by achieving the ‘Triple-A Triple Crown.'”
The S&P Global Ratings “AAA” credit upgrade comes exactly one week after Moody’s Investors Service elevated Ohio’s rating to “Aaa” and one year after Fitch Ratings upgraded the State to “AAA.”
Ohio’s “AAA/Aaa” ratings upgrade comes in connection with the state’s planned issuance of approximately $393 million in General Obligation Refunding Bonds expected to price the week of Dec. 12.
Simultaneously with the change to Ohio’s issuer rating, S&P Global Ratings raised its long-term rating on the State of Ohio’s general obligation bonds to “AAA” from “AA+,” assigned the “AAA” long-term rating to the State of Ohio’s approximately $391 million series 2023 refunding bonds, raised its long-term rating on the tax credit bonds issued by the Columbus-Franklin County Finance Authority to “AA” from “AA-,” raised the dual rating on the state’s GO debt outstanding to “AAA/A-1+” from “AA+/A-1+,” and raised its dual rating on the state’s lease-appropriation debt to “AA+/A-1+” from “AA/A-1+.”