National credit rating agencies recently issued another bond rating upgrade for Connecticut, and the state budget remains in a solid surplus position.

Both Moody's and Fitch announced the upgrades citing increased budget reserves and consistent contributions to the state's pension funds to reduce long term liabilities.

“The rating upgrade is driven by the state’s well-established strong governances practices that have led to increased budgetary reserves and consistent pension contributions," Moody’s said in their announcement statement.

In addition, the state budget office recently estimated the fiscal year 2026 budget is currently on track to finish with a $413 million surplus, while the budget reserve "Rainy Day" fund is projected to have a balance of $5.77 billion.

Under the leadership of House Democrats, the legislature has been able to both balance the needs of Connecticut residents by increasing investments in critical areas such as education, housing and public safety, while continuing to pay down long-term debt.

These credit rating upgrades reflect a confidence by the bond markets in this prudent budgeting approach and a need to continue on this track to ensure Connecticut's economy remains in good shape for years to come.

You can read more about the state's credit rating upgrades in this article from CT NewsJunkie.