OKLAHOMA CITY – Treasurer Todd Russ, along with Governor Kevin Stitt, Pro Tempore Lonnie Paxton and Speaker Kyle Hilbert, today celebrated Oklahoma’s strong financial standing after S&P Global Ratings upgraded the state’s credit rating. S&P Global Ratings raised Oklahoma’s issuer credit rating to ‘AA+’ from ‘AA,’ marking the state’s highest rating in decades. Additionally, the agency upgraded its rating to ‘AA’ from ‘AA-’ on appropriation-backed debt issued by the Oklahoma Capitol Improvement Authority (OCIA) and the Oklahoma Development Finance Authority (ODFA). S&P also assigned an ‘AA’ rating to OCIA’s upcoming $256 million bond issue for the Oklahoma Department of Transportation (ODOT) that is expected to price mid-April.
S&P revised the outlook on Oklahoma’s rating to Positive from Stable in July 2023. The latest upgrade reflects the state’s commitment to responsible financial management, including consistently positive financial results, a dedication to funding pension liabilities, and maintaining high reserve balances to cushion against economic uncertainty. Oklahoma’s credit rating was ‘AA+’ in 2016 before experiencing a downgrade, but through years of disciplined financial management and economic growth, the state has regained its strong standing. This return to ‘AA+’ reflects the commitment to responsible budgeting, maintaining healthy reserves, and fostering economic growth—ensuring long-term stability for taxpayers and businesses alike.
“Oklahoma’s financial discipline is paying off, and this upgrade is a testament to the careful stewardship of our state’s finances,” said Treasurer Todd Russ. ” I am incredibly proud of our team’s hard work in managing the state’s investments, ensuring liquidity, and strengthening our reserves. This rating increase reflects not only our commitment to sound fiscal policy but also the stability of Oklahoma’s financial position. As our economy continues to diversify—from energy to aerospace, manufacturing, and technology—our ability to manage revenues responsibly ensures we can support long-term growth while protecting taxpayers from economic uncertainty. “
Governor Stitt echoed these sentiments, saying, “Oklahoma is proof that conservative fiscal leadership works. We’ve become stronger and more competitive because we’ve balanced our budget, built up record savings, and cut taxes. Our goal has always been putting Oklahoma on a path of long-term financial stability—and we’re seeing the results here today. Businesses and families around the country can trust that Oklahoma is a smart place to build, grow, and succeed.”
Lt. Governor Matt Pinnell also highlighted the importance of the state’s financial strength: “Oklahoma has one of the strongest economies in the nation, as reflected by this credit rating increase. Our state balances having both minimal debt and strong reserves with the lowest costs of living and doing business. With our strong financial standings, Oklahoma is set up for long-term success to impact generations to come.”
Pro Tem Lonnie Paxton, R-Tuttle reinforced the impact of strong fiscal policies and legislative leadership: “Oklahoma’s credit rating upgrade is a direct reflection of our commitment to responsible fiscal stewardship and the progress our state continues to make. Over the past several years, we have prioritized policies that strengthen our financial foundation, reduce liabilities and ensure long-term economic growth. In December, I was honored to be part of a delegation of state leaders who traveled to New York to present to the credit rating agencies. We successfully highlighted our prudent budgeting, strong reserve funds and pro-growth economic policies. This upgrade affirms that our efforts are working, and it positions Oklahoma for continued success. We will continue working to keep Oklahoma on this trajectory, fostering a business-friendly environment and making smart investments in our state’s future.”
House Speaker Kyle Hilbert recognized the significance of securing the credit rating upgrade: “Oklahoma’s strong financial stewardship and pro-growth policies continue to position our state for long-term economic success. I appreciate Treasurer Todd Russ and other legislature for advocating on behalf of Oklahoma and highlighting our commitment to fiscal responsibility. Enhancing our bond ratings allows us to build a stronger economic foundation while keeping costs low for taxpayers.”
S&P’s report acknowledges Oklahoma’s efforts to diversify its economy beyond energy, highlighting growth in aerospace, transportation, and renewable energy industries. The agency also cited the state’s historically conservative budgeting approach and strong financial oversight as key factors in the credit upgrade. With the state’s reserves projected to total over $2 billion and continued economic growth, Oklahoma is well-positioned to maintain financial stability and withstand future economic challenges.
