Alberta Finance Minister Joe Ceci is calling Alberta’s latest credit downgrade by Moody’s a disappointment.
Moody’s downgraded Alberta’s long-term debt rating to a “Double A1″ from “Triple A”.
Moody’s says the downgrade reflects the increased risk stemming from the government’s deep deficits and substantial rise of provincial debt levels.
Ceci defends the government’s decision to run deficits and increase debt saying to do otherwise would have meant raising taxes, firing teachers and nurses, and making reckless cuts to social services.
Wildrose Finance Critic Derek Fildebrandt says the credit downgrade is not a surprise given the NDP’s budget.
He says this is what happens when the NDP gets in power anywhere in Canada.
He adds the downgrade will mean Alberta will have to pay more in interest on its debt, meaning less can be spent on services.
Fildebrandt adds the Finance Minister is fear mongering by saying budget cuts would mean job losses.