Tennessee now holds the highest bond rating issued by the three major credit rating agencies. Standard and Poor’s upgraded Tennessee from AA+ to AAA status after conducting their mid-year review.
The state has had a triple-A rating from Moody’s Investors Services and Fitch Ratings since 2010.
S&P’s report cited a strong economy, growing reserves, performance and sound management of long-term liabilities.
In a news release, Tennessee comptroller John Dunn said, "“Our triple triple-A status is an extraordinary achievement that benefits all Tennesseans.” He said these ratings will translate to lower interest rates when the state borrows money and may result in savings for taxpayers.
Governor Bill Haslam said in the release that Tennessee is one of 11 states to receive the triple-AAA rating. He said the Rainy Day Fund as being more than double what it was in 2011, when he assumed office. He added that the state has the lowest debt per capita, no transportation debt and the lowest interest rate in the state's history.
