CHARLESTON, W.Va. — Governor Patrick Morrisey announced today that Fitch Ratings has upgraded West Virginia’s lottery and excess lottery revenue bonds from A+ to AA‑, assigning the bonds a Stable Outlook and signaling strengthened financial performance for the state.
Governor Morrisey said the upgrade reflects the state’s commitment to responsible financial management and long‑term fiscal stability.
“This is terrific news for West Virginia and another sign that prudent financial management matters,” Morrisey said. “Strong credit ratings can help lower borrowing costs, protect taxpayer dollars, and give us greater flexibility to invest in our state.”
The upgrade applies to lottery revenue bonds issued by the West Virginia Higher Education Policy Commission, as well as excess lottery revenue bonds issued by the West Virginia Economic Development Authority, Water Development Authority, and School Building Authority.
In its rating action, Fitch cited strong resilience in the financing structures and ample debt service coverage, noting that both the lottery and excess lottery revenue systems could withstand significant revenue stress while still maintaining robust coverage of debt obligations.
West Virginia’s overall Issuer Default Rating remains AA, also with a Stable Outlook.
Governor Morrisey said the upgrade reinforces the importance of disciplined financial practices.
“Affordability, prudent management, and strong credit ratings all go hand in hand,” Morrisey said. “We’re going to continue managing the state’s finances responsibly so we can keep West Virginia on strong financial footing and deliver better results for our people.”
The upgraded bonds are supported by statutory allocations of net profits from West Virginia’s lottery and excess lottery funds. Fitch noted that lottery revenues have grown in recent years, driven in part by gains in online gaming.
