Marlborough District Council’s strong financial management has been confirmed by rating agency S&P Global Ratings, which has again awarded an “AA Stable” long term credit rating, for the third year in a row.

Their assessment takes into account the financial position of the Council Group, which includes MDC Holdings Ltd, Port Marlborough NZ Ltd and Marlborough Airport Ltd.

S&P said the Council’s “robust financial management, high level of fiscal flexibility and New Zealand’s excellent institutional settings continue to underpin its ratings.”

It noted the Council’s long term plan calls for higher levels of capital expenditure over the next few years, “in part to comply with new national standards for water supply and improve resilience to natural hazards.”

“We expect Marlborough to record modest after-capital deficits through the forecast period, though its debt burden will remain moderate compared with domestic peers.”

“Marlborough's fiscal processes are credible and well established…the council's treasury management policies set prudent limits on external borrowing and interest rate risk.”

Marlborough Mayor John Leggett welcomed the report.

“S&P has recognised our robust financial management, good fiscal processes and moderate level of debt.

“S&P credit ratings are based on objective analysis and independent assessment, so Marlborough’s residents and ratepayers can have confidence that the Council’s books are in very good shape,” he said.

A copy of the S&P Ratings report is attached.

ENDS

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