PROVIDENCE, R.I. -- Moody's Investors Service, one of the country's top credit-rating agencies, has revised its financial outlook for Providence from negative to stable.
Standard & Poor's Ratings Services also revised its outlook on Providence from negative to stable two weeks ago.
The Tuesday change by Moody's, its report says, reflects the city's recent success with near eliminating its structural deficit, which was $110 million in early 2011, and a projected balance budget for the fiscal year that ends June 30, 2014.
The report also says the improved outlook is because the Taveras administration and City Council made "significant expenditure cuts" by making agreements with retirees and union workers.
But Moody's didn't upgrade Providence's credit rating. It remains at Baa1 - two steps above junk-bond status.