· Standard & Poor’s confirms Victoria’s AAA credit rating with a stable
· Victoria is the only state with AAA credit rating with a stable
· Victorian Coalition Government building a stronger economy to deliver
more schools, hospitals, roads and public transport for Victorians
The Victorian Coalition Government has welcomed Standard & Poor’s announcement reaffirming Victoria’s AAA credit rating with a stable outlook, its highest possible rating, Treasurer Michael O’Brien said today.
Victoria is the only Australian state with a stable AAA rating from both major ratings agencies.
In its rating analysis, Standard & Poor’s commended the Coalition Government’s strong financial management and strong budgetary performance.
Treasurer Michael O’Brien said Standard & Poor’s assessment reaffirms that the Coalition Government has made the right financial decisions to repair the state’s finances from the structural deficit left by Labor.
“Today announcement by Standard & Poor’s confirms the strength of Victoria’s finances and the importance of the Coalition Government’s economic strategy,” Mr O’Brien said.
“This report underlines the importance to Victoria of the Coalition Government’s strong economic management.”
Standard & Poor’s reported that its ratings reflect ‘the state’s very strong financial management, economy and exceptional liquidity. The ratings also reflect Victoria’s strong budgetary performance…’.
‘The Victorian government’s budgetary performance is benefiting from several years of strong fiscal discipline, as evidenced by more rapid revenue growth than expenditures between 2014 and 2017.’
‘In our view, Victoria has demonstrated its own financial strength through its prudent approach to debt and liquidity management, as well as the development of medium and long-term fiscal and economic strategies’.
Mr O’Brien said the rating is a result of the Coalition Government’s successful strategy to bring the budget back into strong and sustainable surplus after years of wasteful Labor expenditure.
The rating is also supported by the Coalition Government’s strategy to fund major infrastructure projects through surpluses from 2015-16 and to raise additional revenue through the long-term lease of the Port of Melbourne and the sale of Rural Finance Corporation.
“The Napthine Government is building a stronger economy so we can invest in critical infrastructure for Victorian families such as upgrades to local roads, new schools in our growth areas and new hospitals in regional Victoria.
“This ratings report highlights the danger that a return to reckless Labor spending poses to Victoria’s economy. Labor has opposed every one of our responsible financial decisions to repair the financial mess that Labor left us with.
“Victorians can’t afford Daniel Andrews and Labor,” Mr O’Brien said.