S&P Improves Pennsylvania’s Rating Outlook to ‘Positive,’ Affirms A+ Long-Term Rating Thanks to Strong Budgetary Management in Second ‘Positive’ Rating Outlook for the Commonwealth in September

S&P credits the Shapiro Administration’s budgetary management policies for the improved rating outlook, signaling potential rating upgrade in the future

Harrisburg, PA – Today, S&P Global Ratings improved Pennsylvania’s outlook to ‘positive’ from stable and affirmed its A+ long-term rating on the Commonwealth’s general obligation bonds in the second affirmation of the Commonwealth’s strong economy and sound budgeting practices from a credit rating agency this month.

In its affirmation, S&P applauded how the “Commonwealth has improved its financial position and demonstrated an ability to build reserves over multiple years, while also making progress in attaining structural budgetary balance” as factors that helped to improve Pennsylvania’s rating outlook to positive, in addition to the Commonwealth’s budget management framework. This assessment is a positive measurement and affirmation that Pennsylvania is fiscally stable, but is only one of many important metrics of our economy’s health and stability.

“Multiple credit rating agencies have now affirmed that our commonsense investments and sound fiscal management are setting the Commonwealth up for continued success as we work to create an economy that works for all,” said Governor Josh Shapiro. “My Administration will strive to ensure that our fiscal outlook remains strong by working with leaders in both parties to continue making commonsense investments that support Pennsylvanians and create safer communities and healthier families, all while remaining fiscally responsible.”  

“Pennsylvania taxpayers deserve sound financial management from their government – and this second positive rating outlook in September affirms that our efforts are working and that the Shapiro Administration is putting the Commonwealth on a path of fiscal stability,” said Secretary of the Budget Uri Monson.

Today’s announcement is the latest affirmation that that Pennsylvania’s economy is strong under the Shapiro Administration and that the Commonwealth’s budget practices are setting Pennsylvania up for long-term success. Earlier this month, Governor Shapiro announced that Moody’s reaffirmed Pennsylvania’s Aa3 issuer credit rating and upgraded the Commonwealth’s rating outlook to positive from stable. The Commonwealth also received the Distinguished Budget Presentation Award for the Annual Budget for fiscal year 2023-24 and the Certificate of Achievement for Excellence in Financial Reporting – the highest form of recognition in governmental accounting and financial reporting – from the Government Finance Officers Association.

The press release issued by S&P Global Ratings can be found here. A chart of Pennsylvania’s ratings’ history can be found here.

MEDIA CONTACT: Governor’s Press Office, ra-gvgovpress@pa.gov 

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