Guanajuato is noted for its debt policies and responsible finance, as well as its solid and stable liquidity It is the highest rating any Mexi
Guanajuato is noted for its debt policies and responsible finance, as well as its solid and stable liquidity
It is the highest rating any Mexican State has been granted
Guanajuato/Gto News
S&P Global Ratings confirmed the credit rating of the State of Guanajuato, in a global scale at “BBB” and in a national scale at “mxAA+”, those ratings are the highest a Mexican State can get.
Above the national level
It is important to note that the rating agency in its report issued on October 29th informed that it also improved the perspective of Guanajuato in the national scale to Stable, it is well over the national report.
The rating agency notes the great record of Guanajuato as it has an efficient financial administration, low debt levels and a solid liquidity, even after the impact of the pandemic.
Factors for a great performance
According to the report, S&P Global Ratings informed that the main factors that contribute to the excellent credit rating of Guanajuato are:
Satisfactory Administration:
It has maintained prudent policies, which have become the spinal cord of the solid financial performance, showing a high level of transparency and financial responsibility.
Increase of its own revenue:
The Administration has successfully adopted a series of fiscal reforms that have strengthened its own revenue, being able to go over the average of Mexican States.
Solid and stable liquidity:
It has a more solid budgetary position compared to other States in Mexico
Low debt level:
The hired debt has a due date for the long term, and it is one of the lowest in Mexico in respect to its revenues
Guaranteed passives for pensions:
These obligations are totally covered until 2083 in a scenario with a real yield of 4%
Budgetary, fiscal and financial discipline
This is how the Government of the State of Guanajuato, with a great work by the Secretary of Finance, Investment and Administration, proves its commitment to maintain budgetary, fiscal and financial discipline, which strengthens the sustainable development of Guanajuato, Greatness of Mexico.
Source:
S&P Global Ratings
https://disclosure.spglobal.com/ratings/es/regulatory/delegate/getPDF?articleId=2747029&type=NEWS&subType=RATING _ACTION
