State Treasurer Michael L. Fitzgerald announced Iowa’s AAA credit rating has been affirmed by Fitch Ratings. “Iowans can continue to rest assured the State’s finances are in secure order,” said Mr. Fitzgerald. “Our conservative budget management, low debt liability and diverse economy helped the State maintain our AAA rating.”
Fitch publishes credit ratings that are forward-looking evaluations of a state’s ability to meet financial commitments, similar to how an individual’s credit score is rated. “This rating would equate to an individual with a credit score over 800,” Mr. Fitzgerald stated. Just as with an individual credit score, states are reviewed periodically. Fitch’s recent report states, “Iowa is well-positioned to absorb any fiscal volatility resulting from either the coronavirus pandemic or sudden shifts in commodity prices.”
Moody’s Investor Services (Moody’s) affirmed its Triple A rating of the State earlier this fall. “By having our AAA credit rating reaffirmed by Moody’s and Fitch, I’m confident in Iowa’s financial future,” continued Mr. Fitzgerald. “News like this is something we can hold on to as we look forward to what’s next for the state.”
As State Treasurer, Mr. Fitzgerald is responsible for managing the state’s funds. His duties consist of depositing money, investing it and ensuring the money is available when needed by the state.
Along with managing the state’s funds, Mr. Fitzgerald administers Iowa’s unclaimed property program, 529 plans, ABLE plan and various other consumer programs.