For the sixth year running Waipā District Council has retained its AA- credit rating.
Sydney-based analysts, Fitch Ratings, have confirmed a continued rating of AA- for Waipā in their annual review released on Friday.
An AA- rating is a reflection of the strength of Council’s capacity to meet financial commitments. It is also a reflection of confidence in Council’s financial management policies and practice.
Council has retained the AA- credit profile since 2017 and the ’stable outlook’ also confirmed by Fitch Ratings, confirms that it is not anticipated there will be any changes to the credit rating in the foreseeable future.
Waipā’s chief financial officer, Ken Morris, said credit ratings were important to Council’s business to bring down the cost of borrowing.
“A positive re-rating is a great outcome as it minimises borrowing costs for Council.
It means that when Council needs to take on new debt to fund things like major infrastructure, we’ll be able to borrow at lower cost – saving ratepayers tens of thousands of dollars in borrowing costs over the financial year.”
Waipā’s next annual credit review is scheduled for May 2024.