Hot on the heels of Maricopa County being named No. 1 for economic growth nationwide, the state's development prospects have received another boost from the Standard & Poor's Global Ratings agency.
Late last week, S&P revised its outlook on Arizona's overall credit to positive from stable and affirmed its 'AA' issuer credit rating for the state, while also affirming its 'AA-' long-term rating on Arizona's general fund appropriation-secured certificates of participation, or COPs. The report noted that Arizona's surge in economic growth over the past two years was a key factor in the upgrade.
"The positive outlook reflects our view that strengthening reserves and ongoing revenue and expenditure management, supported by strong economic momentum that we expect will continue, could lead to upward rating potential should the state also demonstrate budgetary discipline that helps to mitigate future cyclical pressures on its finances," said S&P Global Ratings credit analyst Savannah Gilmore in a statement released July 25.
