A global credit rating agency has downgraded British Columbia’s credit rating for the second time in two years after the province’s budget projected a record $13.3 billion deficit and rising debt in the coming fiscal year.
In a news release on March 19, Moody’s Ratings said it had lowered B.C.’s baseline credit assessment (BCA) from Aa2 to A1. A year ago in April, Moody’s had downgraded the province’s BCA from Aa1 to Aa2.
Credit ratings indicate a borrower’s ability to pay interest and fully repay its debt upon maturity. Moody’s said the latest downgrade was due to “a marked deterioration in the province’s credit fundamentals.”…