Long term planning and low liabilities keep Virginia at the top of credit rankings
Richmond, Virginia – Governor Glenn Youngkin’s administration continues to earn high marks for fiscal discipline, with Moody’s Ratings reaffirming Virginia’s Aaa credit rating this week and maintaining a stable outlook for the Commonwealth. This endorsement highlights Virginia’s status as a national leader in financial stewardship and good governance.
The top-tier rating comes with a strong nod from Moody’s to Virginia’s “healthy balance sheet, strong liquidity, below average liabilities, conservative fiscal management and prudent stewardship of taxpayer dollars.” These factors have helped solidify the Commonwealth’s reputation for managing its finances with responsibility and care, even as other states face increasing fiscal pressure.
Strong Governance and Strategic Growth Drive Positive Results
Governor Youngkin’s “Compete to Win” agenda has helped position Virginia as a state with long-term financial strength and broad economic opportunity. Since taking office, his administration has facilitated more than $100 billion in capital investment across the state, returned $8 billion in tax relief to citizens, and focused on growing the economy through business attraction, workforce development, and population growth.
Moody’s noted that Virginia’s economy is not only well-diversified, but also resilient enough to handle any future federal restructuring. With a strong defense sector and a strategic approach to budgeting, Virginia has distinguished itself from neighboring states like Maryland and the District of Columbia. Maryland was recently downgraded to a negative outlook and enacted $3 billion in tax increases and budget cuts, in contrast to Virginia’s approach of preserving stability without dramatic fiscal shifts.
Virginia’s Financial Strength Continues to Set the Bar
During his budget amendment announcement in March, Governor Youngkin affirmed the Commonwealth’s progress, saying, “Virginia has never been stronger. Strong job growth. Strong startup launches. Strong business investment. Strong population growth. And a strong balance sheet.”
This week’s rating confirmation by Moody’s supports that claim and serves as further validation that Virginia’s disciplined approach is working. As other states face financial uncertainty, Virginia remains a standout example of how long-term planning, smart policy choices, and fiscal responsibility can lead to sustainable economic success.
