City of Detroit’s credit rating upgraded two levels to Investment Grade, first time since 2009
Mayor Duggan and local leaders celebrated the return to Investment Grade for Detroit with bottles of black ink, signifying the City’s positive financial growth.
The City of Detroit received an upgrade in its Moody’s Investors Services credit rating, returning to investment grade for the first time since 2009. The announcement was made by Mayor Mike Duggan and the City’s financial officials.
Not only did Detroit achieve an investment grade credit rating in just ten years out of bankruptcy, but Moody’s Investors Services upgraded the City’s credit rating two levels at once, a rare and exceptional occurrence.
As a result of the improved credit, the City of Detroit can now approach large investors (pension funds, mutual funds, insurance companies) that only purchase investment-grade bonds, lowering interest rates. This allows the City to reprioritize taxpayer money, investing more in infrastructure improvements, neighborhood revitalization and public services.
With Detroit’s increasing tax base, revenue growth, and strong management, Moody’s expects the momentum to continue. Mayor Duggan, City Council members and community partners celebrated the announcement with bottles of black ink, signifying Detroit’s positive financial growth.
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