TORONTO (Reuters) - Credit rating agency DBRS maintained its outlook on Ontario’s debt ratings as “stable” on Thursday, just one day after competitor Standard & Poor’s chopped its outlook on the Canadian province’s rating to “negative”.
DBRS said the stable trend on Ontario’s AA (low) rated debt reflected the province’s ongoing fiscal recovery. The agency said the minority Liberal government’s increased focus on controlling spending was “an encouraging step in the right direction.”
DBRS was the first big ratings agency to downgrade Ontario’s debt rating in the fall of 2009 after the global recession dealt a hard blow to the manufacturing base of Canada’s most populous province.
Reporting by Claire Sibonney; Editing by Jeffrey Hodgson