Because of an effective system of legislation and regulation all Dutch municipalities are able to fulfil their financial obligations entirely and at all times. The financial relationship between central and local government in The Netherlands is structured in such a way, that the credit quality of Dutch municipalities is equal to that of the State of the Netherlands. The State of the Netherlands is rated AAA by Standard & Poor′s, Aaa by Moody′s and AAA by Fitch. Dutch municipalities are not rated individually. Loans to Dutch municipalities are 0% risk weighted by the Dutch central bank.
Publicationdate: 01 October 2009