News release: July 22, 2021
Moody’s Investors Service Reaffirms Region of Peel’s Aaa Credit Rating
BRAMPTON, ON. (July 22, 2021) – Moody's Investors Service has reaffirmed the Region of Peel's Aaa credit rating with a stable outlook, which is the highest rating a municipal or regional government can achieve. The Region has held a Aaa credit rating with Moody's Investors Service since 2011.
The Region's Aaa credit rating is based on the Region's strong governance framework and prudent financial management practices. This rating reflects the Region's every-day commitment to managing tax dollars responsibly while delivering value-added, affordable services to residents and businesses today and over the long-term.
Moody's stated the Region "has demonstrated a consistent capacity to meet fiscal targets, supported by prudent and forward-looking management practices". Moody's also noted the following credit strengths for the Region:
- Liquidity levels are very strong and provide significant debt and expense coverage
- Conservative debt management policies which limits the growth in the debt burden
- Forward looking fiscal and capital planning which allows it to identify potential pressures early on and adjust plans on a timely basis to mitigate any credit implications
Maintaining a high credit rating is in alignment with Regional Council's Long Term Financial Planning Strategy (LTFPS), which guides Regional investments in services, programs and infrastructure to meet the needs of Peel residents, businesses and community partners today and in the future. It also supports the Region's 20–year Strategic Plan with a vision of building a Community for Life across Peel.
A high credit rating provides access to lower long-term borrowing costs for the Region of Peel as well as Brampton, Caledon and Mississauga for investments in infrastructure such as water, wastewater, transit, roads, affordable housing and other municipal infrastructure. This ensures Peel's services remain affordable and sustainable for both residents and businesses, now and in the future.
Gary Kent, Commissioner of Finance and Chief Financial Officer.
Region of Peel
The Region of Peel works with residents and partners to create a healthy, safe and connected Community for Life for approximately 1.5 million people and over 175,000 businesses in the cities of Brampton and Mississauga and the Town of Caledon. Peel's services touch the lives of residents every day. For more information about the Region of Peel, explore peelregion.ca and follow us on Twitter @regionofpeel and Instagram @peelregion.ca.