Media Release: Ontario’s credit rating reaffirmed, outlook stable


[La version française suit le texte anglais.]  


TORONTO, January 31, 2023  Today, the Financial Accountability Office of Ontario (FAO) released its latest update on Ontario’s credit rating.

The Government of Ontario’s (the Province’s) debt is rated by four principal international credit rating agencies, based on their assessments of the Province’s economic and financial outlook, and future risks. These credit ratings represent the agencies’ opinions on Ontario’s ability to meet its debt-related financial obligations.

After dramatic improvements in Ontario’s finances stemming from a post-pandemic surge in economic activity, the four credit rating agencies have all recently reaffirmed their ratings for the Province in updated assessments and maintained the outlook as stable. In general, the agencies continue to rate Ontario as an “extremely strong,” investment-grade borrower. Based on a standardized scale, Ontario’s debt is currently rated AA- (fourth highest rating) by DBRS Morningstar, Moody’s and Fitch Ratings, and A+ (fifth highest rating) by S&P Global Ratings.

All credit rating agencies indicated that fiscal improvement, in the form of declining budget deficits and a falling debt burden, could lead to a positive ratings action (either a rating upgrade or positive outlook). Conversely, rising deficits and an increasing debt burden could lead to a negative rating action (a rating downgrade or negative outlook). 

To learn more, read the full report here.

Quick Facts:

  • Agencies indicated that Ontario’s strong credit rating is supported by its large and diversified economy, high liquidity and prudent debt management program. As well, Canada’s federal-provincial framework provides provinces with the flexibility to adjust both tax policy and program spending, in addition to continued and predictable federal transfers.
  • Relative to other provinces, Ontario is the fifth highest rated province.

About the FAO:

Established by the Financial Accountability Officer Act, 2013, the Financial Accountability Office (FAO) provides independent analysis on the state of the Province’s finances, trends in the provincial economy and related matters important to the Legislative Assembly of Ontario.

Visit our website or follow us on Twitter and LinkedIn for more information on our reports.


For further information, please contact:
Jessica Martin l 647 527 2385 l l