Illinois' bond rating sees another upgrade

ILLINOIS (WAND) - Illinois' bond rating has been raised again, Gov. JB Pritzker announced Thursday.

This marks the second time Moody's Investor Service has upgraded Illinois' ratings in less than a year. It's the third increase in two decades.

Moody's credited Illinois' "solid tax revenue growth in the past year," which helped grow the state's ability to rebuild financial reserves and increase payments toward unfunded liabilities, the governor's office said. Moody's stated Illinois is "on track to close the current fiscal 2022 with its strongest fund balance in over a decade."

“Illinois was in a deep hole in the years before I was sworn into the governorship, and together with the General Assembly, step by step, we are putting Illinois on firm fiscal footing,” said Pritzker. “This credit upgrade means Illinois will likely pay a lower interest rate, saving taxpayers hundreds of millions of dollars in the coming years. I would like to especially thank Speaker Welch, President Harmon, Leader Greg Harris, Senator Elgie Sims, Comptroller Susana Mendoza and Treasurer Michael Frerichs for their partnership. There’s more work to be done, but step by step, rung by rung, we are steadily climbing the ladder out of a hole that was dug over decades. Illinois’ future is bright.”

Moody's raised the state's General Obligation bonds rating to Baa1 stable outlook from Baa2 stable outlook. Build Illinois sales tax bonds were raised to Baa1 from Baa2 while maintaining stable outlook. The governor's office said Moody's also affirmed a Baa3 rating and stable outlook on outstanding Metropolitan Pier and Exposition Authority bonds partially paid with state appropriations.

Pritzker's staff said the upgrade follows the enactment of Illinois' fourth consecutive balanced budget.