State’s credit rating stabilizes

JACKSON, Miss. (AP) – A second of the nation’s three main credit rating agencies is feeling a little more confident about Mississippi’s state government financial picture.

Moody’s Investors Service on Wednesday removed its negative outlook on Mississippi’s debt, instead raising the outlook to stable. Last month, Standard & Poor’s Financial Services, also raised its outlook from negative to stable.

Mississippi remains rated Aa2 by Moody’s and has equivalent ratings from the other two main credit agencies.

Credit ratings can influence how much the state has to pay in interest on its debt, but the financial advantage of a higher rating has been narrowing recently.

Both Moody’s and S&P say improving state revenue sparked the revisions. Moody’s also cites an upcoming deposit into the state savings account.

Fitch already rated Mississippi’s outlook as stable.