DBRS Releases Updated Methodology for Rating Canadian Municipal Governments

DBRS has today released an updated methodology for rating Canadian municipal governments.

The publication of this methodology is part of an undertaking to update all of DBRS’s corporate methodologies or expand on the industries covered. The purpose of this plan is to provide market participants with additional insight into the rationale behind DBRS’s rating opinions in a transparent fashion and, as such, rating changes due specifically to the updated methodologies are not expected.

In addition to covering general operating and financial risk considerations, this methodology reviews a number of rating considerations specific to municipal governments and outlines key financial metrics used in DBRS analysis of individual issuers within the sector.

DBRS has taken no rating actions as a result of the publication of this methodology.