Ratings agency Standards and Poor’s has confirmed Tasmania’s AA+ credit rating, noting the state’s financial management was key to maintaining the “very positive ratings factor.”

 

Tasmanian Premier Lara Giddings welcomed the announcement, saying it showed the strength of the state’s economy despite a range of global factors continuing to impact on the state.

 

"S&P has confirmed what we have been saying for some time - Tasmania is not immune from factors such as the high Australian dollar and the effects of the two-speed economy," Ms Giddings said.

 

"There is no denying that these factors are having an impact on the Tasmanian economy, state revenues and Budget flexibility.

 

"Importantly however, this result shows that S&P has confidence in our Budget management strategy and the progress we are making to return the state's finances to a sustainable footing.

 

"It sends a clear message to investors and the broader business community that the State Government is exercising strong and responsible financial management and has the right policies in place to build jobs and opportunities for the future."

 

Tasmania’s AA+ rating means its credit rating is equal to that of Queensland and better than South Australia’s.

 

S&P noted the Tasmanian Government's financial management was "supported by a culture of planning and transparency."