The World is Watching Ontario

Yesterday from FP

“We believe the province’s main credit challenges include its continuing weak budgetary and debt metrics and its challenging cost-containment plan required to achieve budgetary balance by fiscal 2018,”

Today from Reuters

“The downgrade of Ontario’s rating reflects the growing debt burden and the risks surrounding the province achieving its medium-term fiscal plan given the subdued growth outlook, extended time frame back to balance and ambitious expenditure targets,”

The other shoe has officially dropped, the second credit agency in as many days has downgraded the financial outlook in Ontario. This should be a strong signal to the  McGuinty government to stop their freespending ways. With today’s warnings the province needs immediate action to stop Ontario’s ballooning debt crisis.