The rating agency Standard & Poor's has raised the long-term credit rating of the Autonomous Community of the Canary Islands from 'A' to 'A+'. This update is a consequence of the also increase of the credit rating of Spain.
In its latest report in May, the international agency granted the CAC a credit rating of 'A', which was the highest rating that the autonomous community could obtain, since its rating cannot be, in any case, higher than that of the State. However, already at that time, S&P's evaluation of the independent credit profile for the CAC was "aa-", higher than the A+ rating that is now granted.
On September 12, Standard & Poor's raised Spain's rating to 'A+', so the state rating 'ceiling' that limited the autonomous community disappears and this update is carried out, which places the Canary Islands among the administrations with a higher credit rating.
As it stated at the time, Standard and Poor's reiterates the solid budgetary performance, the low and decreasing debt burden and the exceptional liquidity position of the archipelago as reasons for this increase in the regional credit rating. This rating of the debt of an autonomous community evaluates its solvency to meet its financial commitments, which highlights the stability and consistency of the results of the Canary Islands public accounts.
In addition, the stable outlook, which the update note of the S&P credit rating grants to the Canary Islands public accounts, reflects the expectation that the autonomous community will maintain solid operating surpluses and balanced budgets during the forecast period until 2027, while reducing its debt and maintaining exceptional liquidity.