Fitch's Rating Action Commentary (RAC) has been released, New Zealand Local Government Funding Agency Ratings Affirmed; Outlook Stable. View Here >>
Fitch Ratings has affirmed New Zealand Local Government Funding Agency Limited's (LGFA) senior unsecured local-currency bonds at 'AA+' and its short-term domestic debt programme at 'F1+'. The Outlook remains Stable.
Fitch has today affirmed Fitch equalises LGFA’s ratings with those of the New Zealand sovereign (AA/AA+/Stable/F1+), which is a shareholder, liquidity provider and derivative counterparty to the GRE.
Fitch note that the affirmation also reflects the robust underlying credit profiles and asset quality of LGFA's other council shareholders and borrowers, which operate under a strong institutional framework and provide full support for LGFA's debt obligations through joint and several liability guarantees.