The ratings on the Province of Ontario reflect the expectation of continued strong budgetary performance (implying small fiscal surpluses at minimum), which will allow the government to continue nominal debt reduction beyond 2001, thereby allowing progressive easing of Ontario's debt burden through the medium term. The ratings also reflect: -- The province's exceptionally strong economic performance, with very robust employment and investment in the past several years, and the expectation of continued positive economic growth, albeit at reduced growth rates; -- The government's commitment to preserving budgetary surpluses in the medium term, even as it fulfills its promise of further, gradual, personal income tax reductions, and even should the pace of economic growth slow from the high rates of the
