GNWT credit rating of Aa1 / Stable confirmed

Jun 3 2015

YELLOWKNIFE (June 3, 2015) – Minister of Finance J. Michael Miltenberger is pleased that Moody’s Investors Service continues to recognize the Government of the Northwest Territories’ (GNWT) sound fiscal management with another Aa1 credit rating. 

The rationale for the GNWT’s Aa1/Stable Outlook credit rating was included in a credit analysis published by Moody’s and based on their annual review of the GNWT’s fiscal plans and outlook – and in particular the government’s borrowing activity and the impact of devolution. 

“Once again, Moody’s has confirmed their recognition of our responsible fiscal management,” said Minister Miltenberger. “We have adopted fiscal policies that have supported the economy by maintaining spending and by investing significantly in infrastructure, but remain committed to our goal of long-term fiscal sustainability.” 

Minister Miltenberger added, “our commitment to responsible fiscal management will not change with the recent increase in the borrowing limit. In keeping with our Fiscal Responsibility Policy, we will maintain strict control of expenditure growth so that we can continue to fund at least half of our infrastructure investments through surpluses. This has become increasingly challenging because of projected flat revenue growth. However, our prudent fiscal policy and governance practices give me confidence we will meet these fiscal challenges head on.”

Moody’s high investment grade rating reflects prudent fiscal policies, a low debt burden and a developed fiscal framework with a track record of positive consolidated surpluses.

The highest possible credit rating issued by Moody’s is Aaa, one level above the GNWT’s.

Media inquiries:
Roya Grinsted
Cabinet Communications
Government of the Northwest Territories
Tel: 867-669-2308