City Earns Strong Bond Ratings from S&P and Moody’s

Published on April 22, 2026

The City of Wilmington has once again received strong bond ratings from two of the nation’s leading credit rating agencies, S&P Global Ratings and Moody’s Investors Service, reflecting the City’s solid financial health and continued commitment to responsible fiscal management.

S&P Global Ratings assigned the City a AAA rating for its general obligation bonds and an AA+ rating with a stable outlook for its most recent limited obligation bond issuance. Limited-obligation bonds are consistently rated one notch below general-obligation bonds by rating agencies. These ratings are among the highest a municipality can achieve and indicate a very strong ability to meet financial commitments.

Bond ratings function like credit scores and play a key role in how cities finance major capital projects. Wilmington’s high ratings position the City to secure financing at more favorable interest rates, reducing long-term costs and allowing for continued investment in essential infrastructure and services.

In their evaluations, both S&P and Moody’s highlighted Wilmington’s strong and growing local economy, supported by key sectors such as the port, healthcare, and higher education. The agencies also cited the City’s healthy financial reserves, with fund balance levels at approximately 49% of operating revenues, as well as its consistent use of long-term financial planning and clear fiscal policies. While the City may occasionally utilize short-term deficits to support planned investments, its demonstrated ability to return to balanced operations over time was identified as a key strength.

S&P assigned a stable outlook, indicating confidence that Wilmington’s strong financial position will continue. The report also noted that, while the City faces typical challenges such as managing growth and planning for coastal weather risks, it has the policies and resources in place to address them responsibly.

“This strong rating reflects the City’s solid financial foundation and our continued commitment to responsible stewardship of public resources,” said Chief Financial Officer Martha Wayne. “It allows us to move forward with key investments in infrastructure, public safety, and quality-of-life services while keeping long-term financial stability front and center for our community.”

Proceeds from the City’s most recent bond issuance will support a range of projects, including street and sidewalk improvements, a new property management facility, and public safety equipment, helping maintain Wilmington’s high quality of life while supporting continued growth.