Chicago Faces Credit Rating Downgrade Due to Budget Challenges

Reported 1 day ago

Chicago's credit rating is at risk of being downgraded by S&P Global Ratings amid concerns over a nearly $1 billion budget shortfall for 2025. Analysts have placed the city's BBB+ rating on negative watch, highlighting the importance of implementing structural changes rather than one-time fixes to address the deficit. With declining revenues, expiring federal aid, and rising pension costs, Mayor Brandon Johnson must navigate significant fiscal hurdles after his proposed property tax increase was rejected. The situation has heightened the risk of the city ending the year without an approved budget.

Source: YAHOO

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