State Treasurer Curtis Loftis announces SC maintains high credit ratings, issues nearly $10 million in General Obligation bonds
May 8, 2019
State Treasurer Curtis Loftis announced that South Carolina continues to maintain high bond ratings with the three major credit rating agencies.
Moody’s Investment Services and Fitch Ratings reaffirmed the Palmetto State’s AAA rating, acknowledging the state’s continued sound financial management. Standard & Poor’s Global Ratings also reaffirmed South Carolina’s AA Plus rating (AA+). South Carolina is one of 14 states rated in the top category by Moody’s.
“I am pleased that South Carolina was able to maintain our strong credit ratings, which reflects the conservative financial nature of our state,” Treasurer Loftis said. “Low unemployment, continued economic growth and building our state’s cash reserves since the 2008 recession have all contributed to improving the state’s economy, and these strong credit ratings allow us to borrow money less expensively.”
The bond ratings were issued for last week’s bond sale of $5.635 million General Obligation State Institution Bonds to construct and equip a new outdoor fitness and wellness center for students at Clemson University, and $4.290 million General Obligation State Institution Refunding Bonds on behalf of the University of South Carolina.
The refunding of USC’s State Institution Bonds was the result of a biannual review by the State Treasurer’s Office to identify refunding savings opportunities. Thanks to a competitive rate market, the university is saving more than $600,000 in debt service payments, significantly more than estimates presented to the State Fiscal Accountability Authority last fall when the two bond projects were initially reviewed.
The State Treasurer’s Office is responsible for managing the borrowings of the State, its agencies and certain authorities through its Debt Management Division. The division works to borrow funds as efficiently and effectively as possible by securing the lowest rates and fees, while ensuring that the investment of the lenders, investors and bondholders is protected and secured.