FRANKFORT, Ky. — Gov. Andy Beshear announced that his administration had secured a second credit rating increase from a major agency, this time from S&P Global Ratings.
In general, the rating measures the state’s ability to pay debts and the overall health of Kentucky’s economy. The Governor said the increased confidence in Kentucky’s financial outlook would mean lower costs for taxpayers on the state’s investments in critical infrastructure projects, like roads, bridges and schools. It also means that public employee pensions are more secure.
“This is good news for Team Kentucky as we show everyone that our economy is booming, our pensions are strong and our fiscal house is in order due to strong management and smart choices that put our people first,” Gov. Beshear said. “This rating increase benefits every Kentucky family because it means every taxpayer dollar goes further toward the projects making a difference in our communities.”
The agency said the A to A+ upgrade the state’s commitment and execution of efforts to strengthen budgetary flexibility and long-term financial stability. The report also highlighted Kentucky’s strong economic trends, emphasizing continued investments and job creation in the auto industry. The A+ rating is supported by Kentucky’s sustained trend of structural balance within the budget, with operating surpluses that have led to the largest rainy day fund in state history, totaling $2.7 billion, and strong pension funding for public servants.
This upgrade from S&P Global Ratings enhances the state’s growing economic momentum.
