ANNAPOLIS, Md. — Fitch Ratings has assigned a AAA credit rating to Maryland.
This keeps Maryland at a stable outlook, making it the strongest bond rating possible.
This rating reflects Maryland's "broad diverse and wealthy economy, strong and forward-looking fiscal management, and broad budgetary flexibility despite the challenges posed by increasing medium-term obligations," Fitch says.
Hear how two credit agencies rate the state of Maryland
Maryland leaders says this news affirms their work to preserve Maryland's fiscal strength.
“Today’s full report from Fitch on our AAA state credit rating affirms our work to preserve Maryland’s fiscal strength, despite attacks on our economy from the federal government.
“As Fitch acknowledged, Maryland’s “financial resilience is extremely strong, with well-funded budgetary reserves, consensus-oriented decision-making with a historical willingness to trim spending and increase revenues, and a disciplined multiyear forecasting and planning process.
“We turned a deficit into a surplus, gave the middle class tax relief, and reduced spending by over $2 billion–the largest amount that’s been cut by a Maryland budget in 16 years. We’ve also created nearly 100,000 jobs, achieved some of the lowest unemployment rates in the nation, and experienced one of the fastest job growth rates.
“Even amid enormous federal headwinds – from government layoffs and massive budget cuts – Maryland stands strong. We will continue to protect our people and fortify our state against the ravages of Washington. And together, we will continue to answer crisis with courage.”
This news comes after Moody's Ratings downgraded Maryland's credit ratings in several areas due to "economic and financial under performance compared to Aaa-rated states."
RELATED: Moody's Ratings downgrades Maryland's credit rating
The downgraded rating shows an increase in risk for investors loaning money to the state.
Moody's did add that the outlook for the state has been revised to 'stable.'
The organization also said that while the state did address "a trend of overspending in various programs... the need for further corrective actions may arise directly from federal funding cuts or the economic consequences of federal layoffs and other policy shifts, to which Maryland has a very high degree of exposure."
