Standard & Poor's upgrades Canary Islands credit rating to A+

Standard & Poor’s has upgraded the long‑term sovereign credit rating of the Autonomous Community of the Canary Islands from “A” to “A+”. The regional government’s Treasury and EU Relations Department announced the change, noting that it follows the recent upgrade of Spain’s own rating.

In its May report, the international rating agency assigned the Canary Islands a “A” rating—the highest level the autonomous community could receive, as its rating cannot exceed that of the Spanish state. At that time, S&P’s independent credit profile for the Canary Islands (CAC) was rated “aa‑”, which is actually higher than the “A+” now granted.

On 12 September, S&P raised Spain’s rating to “A+”, removing the previous “state‑rating ceiling” that had limited the autonomous community’s score. This adjustment places the Canary Islands among the regions with the most elevated credit ratings in Spain.

“Standard & Poor’s reiterates the solid fiscal performance, low and decreasing debt burden, and the exceptional liquidity position of the archipelago as the key reasons for this regional credit upgrade.”

The rating evaluates the solvency of a regional government to meet its financial commitments, underscoring the stability and consistency of the Canary Islands’ public accounts. Moreover, S&P’s stable outlook for the region’s finances signals an expectation that the autonomous community will maintain strong operating surpluses and balanced budgets through the 2027 forecast horizon, while continuing to reduce debt and preserve exceptional liquidity.