Odessa's Credit Rating: A Fresh Perspective
Recognizing the importance of a qualified assessment of Odessa's credit rating, the Finance Department of the City Council has collaborated with rating agencies for over ten years.
On December 5, 2024, the independent agency «Credit-Rating» announced the confirmation of Odessa's long-term credit rating at uaAA-, with a «stable» outlook.
This rating is based on an analysis of economic and financial indicators from the first half of 2024 and projected figures for the entire year, considering demographic data, labor market conditions, debt obligations, and municipal property.
Factors supporting the credit rating level:
• high budgetary sustainability: the ratio of general fund revenue per capita is 104.3%;
• growth in budget revenues from 2014 to 2024 and high liquidity;
• diversification of the city's economic activities, with low concentration of revenue from major taxpayers;
• low consolidated debt burden and effective municipal debt management policies.
Factors limiting the credit rating:
• negative impacts of Russian military aggression on the financial market and national economy;
• high demand for additional funding for infrastructure restoration.
Given the significance of the credit rating, the Finance Department will continue its collaboration with the agency to update Odessa's rating in 2025.
More information about all credit ratings can be found on the website www.credit-rating.ua and in BLOOMBERG, S&P Capital IQ systems.
********
According to the rules set by the NCSSM, ratings should be updated at least every six months. On February 28, 2022, «Credit-Rating» announced the transition of all ratings to a watchlist due to war risks. On March 31, 2023, Odessa's credit rating was updated to uaAA- with a «stable» outlook.
