Nova Scotia's Credit Rating Outlook Improves

Premier John Hamm welcomed news that Standard & Poor's Rating Services has upgraded the outlook to Nova Scotia's credit rating.

The respected bond rating agency announced today, Aug. 18, that it will change Nova Scotia's issuer credit rating from A-minus stable to A-minus positive.

"This is independent proof that Nova Scotia's finances are on the right track and continue to get better," said Premier Hamm. "Stable government finances will help keep our economy growing and allow us to pay for the things that Nova Scotians care about, like health care and education."

According to Standard & Poor's, Nova Scotia's credit rating improved based on some of the following factors:

• two consecutive balanced budgets, "due primarily to measures undertaken by the government to control spending";
• lower debt-to-GDP ratio and foreign currency debt exposure;
• solid economic performance in 2002 with expectations for continued growth in 2003;
• Nova Scotia's debt reduction plan; and
• the province becoming one of the first in Canada to report its finances on a fully consolidated basis.

"Thanks to the hard work and sacrifices made by many Nova Scotians, our province has turned the corner and improved our finances to a positive position not seen in 40 years," said the premier.