The Scottish Government has been ranked as high investment grade by two global credit rating agencies, matching the UK and better than Spain, Italy and Japan.
Moody’s and S&P Global highlighted the strength and diversity of Scotland’s economy, its strong institutional framework, and the government’s prudent financial management and low levels of debt.
The ratings come ahead of a bonds programme which First Minister John Swinney will launch today to raise new funds. The bonds – dubbed ‘kilts’ (Scottish gilt) – will pay a return to investors.
Moody’s rated the Scottish Government as Aa3 and S&P Global rated it as AA, both identical to the UK’s Sovereign rating and higher than major European and global economies.
Finance Secretary Shona Robison said: “This is an excellent result – on a level with the UK’s sovereign rating and better than many major industrial countries – which reflects our strong track record of prudent fiscal policy and responsible debt and financial management.
“High credit ratings will support our wider efforts to boost economic growth by providing one of the clearest signals that Scotland is a place to invest in and do business.
“The credit ratings will also support plans for a future Scottish Government bond issuance.”
The Scotland Act 2016 devolved powers to Scotland to allow the issuing of government bonds for capital investment. As part of the 2025-26 Scottish Budget process, the Scottish Government set out an update on Scottish Government borrowing policy and progress towards a future bond issuance.
The Scottish Government is being advised by EY.
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