Research Update: Province of Prince Edward Island 'A' Ratings Affirmed; Outlook Remains Stable

The Province of Prince Edward Island's (PEI's) economy has recovered well and outperformed the national average in recent years, fueled in part by robust international immigration. A focus on longer-term fiscal sustainability will help budgetary performance improve in the next two years while PEI's debt burden will remain low relative to that of most Canadian provinces. As a result, we affirmed our 'A' long-term and 'A-1' short-term issuer credit ratings on PEI, and our 'A' issue-level rating on the province's senior unsecured debt. The stable outlook reflects our expectation that the province will experience positive economic growth that will lead to improving budgetary performance in the next two years. On May 16, 2022, S&P Global Ratings affirmed its 'A' long-term

...- The Province of Prince Edward Island's (PEI's) economy has recovered well and outperformed the national average in recent years, fueled in part by robust international immigration. - A focus on longer-term fiscal sustainability will help budgetary performance improve in the next two years while PEI's debt burden will remain low relative to that of most Canadian provinces. - As a result, we affirmed our 'A' long-term and 'A-1' short-term issuer credit ratings on PEI, and our 'A' issue-level rating on the province's senior unsecured debt. - The stable outlook reflects our expectation that the province will experience positive economic growth that will lead to improving budgetary performance in the next two years....

Research Update