Fitch Notes Strong Economic Fundamentals in Affirmation of New South Wales' Credit Ratings
Fitch Ratings affirmed New South Wales' long-term issuer default ratings at "AAA" with a stable outlook, according to a late Tuesday statement.The affirmation and outlook reflect strong economic fundamentals that underpin the state's robust revenue capacity, including a large and highly diversified economy, resilient labor market, and steady population growth.Although high debt levels and global economic risks pose challenges, Fitch views New South Wales' disciplined fiscal approach and resilient economic base as key strengths that support the state's credit profile and its shock-absorption capacity.The government's prudent approach to fiscal management lends support to a positive medium-term fiscal trajectory and continued improvement in operating surpluses even as it balances considerable infrastructure investment and service delivery needs, Fitch said.
