B.C.'s debt rating downgraded

[sooperphreek]

soooooo........this is the ndps - labors fault from over 10 years ago right? because everything with the liberals was roses and an age of aquarius soundtrack right? http://news.ca.msn.com/local/britishcol ... downgraded

The prominent credit rating agency Moody's Investors Service has downgraded B.C.'s financial outlook, lowering the province's debt rating from stable to negative.

Moody's says the downgrade reflects B.C.’s worsening financial situation.

Recent drops in royalties from resources like coal and natural gas have lead to a spike in the deficit, and investors worry about the government's ability to avoid increasing the overall debt even further.

Tthe province's second quarterly financial report last month indicated the province's annual deficit was projected to reach $1.47 billion, up from an earlier forecast of $1.1 billion.

Given the change in Moody’s rating, the B.C. NDP’s Bruce Ralston said he wonders how Finance Minister Mike de Jong can still claim to be on track to balancing the books.

"This kind of view of the budget-making process, I think, means it will be increasingly difficult for Mr. de Jong to be taken seriously in his boasts that he's going to balance the budget."

De Jong was not available to comment late Wednesday, but in a statement the finance ministry points out that Moody's has not downgraded B.C.’s overall AAA credit rating, but applies only to the debt rating category.

Moody's Assistant Vice President Jennifer Wong said the province is working to hit its fiscal targets and if it's able to do that the credit rating could be raised back to stable.

[grammafreddy]

soooooo........this is the ndps - labors fault from over 10 years ago right? because everything with the liberals was roses and an age of aquarius soundtrack right? http://news.ca.msn.com/local/britishcol ... downgraded

I dunno about Age of Aquarius soundtrack ... how about Men in Black or the theme song from Jaws?

Maybe Polly Wolly Doodle All the Day ...

Way to start off a thread ... instantattackmode.

[sooperphreek]

is it possible for a political party to think it is wise enough to promote business interests and philosophies - but then they let the debt ratings fall? isnt that everything a smart business would not let happen? so....if this is a business friendly party - that runs their business deplorably why would the electorate be crazy enough to let them continue on that course? perhaps the ndp will be able to get our credit rating back. wouldnt that be crazy??? a labor friendly party being smart with their credit? thats insanity!

[Gone_Fishin]

The NDP took our credit rating to its lowest point in history with their policies, the same policies they have today. Fact.

Likely, the ever increasing possibility of an NDP government next year is causing bondholders to run, which will affect our rating. Fewer willing lenders on shorter term debt (1 - 3 years) means a lower credit rating. Fact.

[steven lloyd]

Likely, the ever increasing possibility of an NDP government next year is causing bondholders to run, which will affect our rating. Fewer willing lenders on shorter term debt (1 - 3 years) means a lower credit rating. Fact.

Lower than expected commodities prices and fiscal mismanagement of current government. Fact

Moody's says the downgrade reflects B.C.’s worsening financial situation.

Recent drops in royalties from resources like coal and natural gas have lead to a spike in the deficit, and investors worry about the government's ability to avoid increasing the overall debt even further.

The province's second quarterly financial report last month indicated the province's annual deficit was projected to reach $1.47 billion, up from an earlier forecast of $1.1 billion.

http://news.ca.msn.com/local/britishcol ... downgraded

[Rwede]

De Jong was not available to comment late Wednesday, but in a statement the finance ministry points out that Moody's has not downgraded B.C.’s overall AAA credit rating, but applies only to the debt rating category.




NDP Record
Four credit rating downgrades and the worst fiscal record in Canada during the 1990s.
Significant interest cost increases - hundreds of millions - resulted from the downgrades.

BC Liberal Record
Credit upgrades from Standard & Poors, Moody's and Dominion Bond Rating Service.
Credit rating agencies cited the BC Liberal government's consistent achievement of budget targets, declining debt-to-G.D.P., and B.C.’s robust economy.
Significant interest cost savings.




The NDP don't understand the difference between a credit rating and a debt rating, but we'll just have to forgive them. They just aren't all that smart.

[Urbane]

What we have is a warning from Moody's but it's not just a warning to government. For too long now we have not been living within our means. We can't keep demanding that government provide more services while simultaneously throwing a tantrum and screaming "cash grab" when something like the HST is introduced. We're lucky that for now we still have our AAA credit rating but a warning has been issued and as I say the warning is not just to government.

[George+]

Hmmm... I wonder if the debt rating AFFECTS the credit rating??

Just another nail in the Liberal coffin. Only a few more to go
and it will be sealed tight.

[The Green Barbarian]

Hmmm... I wonder if the debt rating AFFECTS the credit rating??

Just another nail in the Liberal coffin. Only a few more to go
and it will be sealed tight.

you mean a nail in BC's coffin - all our fates are sealed tight if we have to go from the frying pan right into the fires of hell that is an NDP government.

[Rwede]

Hmmm... I wonder if the debt rating AFFECTS the credit rating??

Just another nail in the Liberal coffin. Only a few more to go
and it will be sealed tight.

Any thoughts about the NDP's record of 4 straight credit rating DOWNgrades, Georeg?

[George+]

The Liberals are/were much more adept at hiding losses.

[Rwede]

So the incompetence of the NDP at handling finances is something we both agree on. Thanks for that.

[flamingfingers]

Mr. Reid puts it succinctly:

All the news that’s fit not to print
Posted on December 13, 2012 by Ian

Here’s the Page 1 screamer from the Vancouver Sun, March 7th, 1997: New York credit agency threatens to downgrade B.C.’s rating.

Here’s the Business page sidebar note in today’s Vancouver Sun: BC’s debt outlook downgraded.

Can you say double standard?

In 1997 the Sun used up a lot of news, business and editorial pages condemning the BC NDP as a reckless government with soaring debt. For example, according to the Sun’s 1997 page one piece on the downgrade threat, it was necessary because “because the government has failed to balance its budget two years in a row.”

It’s a different story with the Campbell/Clark government. No front page above the fold story on the credit downgrade. Just a sidebar squib on the front page of the business section. And no mention that the BC Liberals have failed to balance their budgets not two but four years in a row, heading for five.

And just six days ago the Sun was featuring a story rating Clark as the fourth best financial manager in the country. Source? The Fraser Institute.

It’s like reading a newspaper that’s drinking the Kool-Aid in double doses.

P.S. Where’s former Coleman fetch it boy Jordan Bateman on the downgrade? Shouldn’t he be just a little outraged on behalf of the taxpayers?
http://therealstory.ca/2012-12-13/bc-li ... t-to-print

[Sn0man]

and B.C.’s robust economy.

Negative migration, ballooning deficits, high unemployment...

"Robust" is not the word I would use to describe the BC economy.

[maple leaf]

(quote="Rwede"and B.C.’s robust economy. /quote)

Negative migration, ballooning deficits, high unemployment...

"Robust" is not the word I would use to describe the BC economy.

The 15 million dollar Tax payer funded ad's tell us BC is stable and growing.The whole party should be made to stand in the town square and hang there heads in shame for such misleading lies.