BATON ROUGE, La. — Fitch Ratings has revised Louisiana’s credit outlook from “Stable” to “Positive,” citing the state’s improved financial management, stronger reserves, and commitment to long-term fiscal health.
State Treasurer John Fleming, M.D., said the decision reflects Louisiana’s progress in strengthening its fiscal foundation.
“This news is a clear signal that Louisiana is turning the corner and building a stronger fiscal foundation for the future,” Fleming said. “When an agency like Fitch Ratings begins to view our outlook more positively, it tells companies, investors, and the people of our state that we are serious about getting our fiscal house in order.”
A more favorable credit outlook can reduce borrowing costs for infrastructure, higher education, and public works projects, providing greater value for taxpayers. Louisiana’s recent budget surpluses, growing reserves, and stable pension and debt levels were key factors in Fitch’s assessment.
Fitch said in its report that “Louisiana’s financial operations continue to improve as the state prioritizes enacting balanced budgets.”
Since taking office nearly two years ago, Fleming has emphasized maintaining healthy reserves, directing surplus revenues to long-term liabilities and infrastructure, and preserving the state’s bond capacity. He said continued discipline will be vital to sustain momentum.
“Our work is not done,” Fleming said. “We must make sure that significant recognition turns into sustainable economic opportunity for the people of Louisiana.”
The Louisiana Department of Treasury manages state cash flow, debt issuance, and unclaimed property. Under Fleming’s leadership, the department has prioritized transparency, conservative budgeting, and a long-term fiscal strategy.