Dominion Bond Rating Service has upgraded British Columbia’s credit rating, citing the province’s sound fiscal management and reduced debt burden.

Total provincial debt at the end of 2005/05 is forecast at $36.1 billion, a $1.7 billion decline from the previous year. To support its rating upgrade, DBRS cited B.C.’s sound financial and economic position, significant improvements in the province’s debt burden, considerably improved tax-competitiveness, cost control measures, the achievement of a balanced budget and fiscal soundness going forward. This is the first time since 1989 that DBRS has increased B.C.’s credit rating.

“Today’s credit upgrade from DBRS, like the upgrade we received from Standard and Poor’s last November, is further validation that our plan is working and British Columbians will continue to see the benefits,” said finance minister Colin Hansen. “Investors and rating agencies are impressed with our province’s achievements and people from across North America are really excited about British Columbia’s future.”

“Sound fiscal management and a strong economy means British Columbians can invest more in health care and education rather than servicing the debt,” said Hansen. “As we continue to manage our debt prudently, we hope to see greater savings in the years ahead.”