Charlotte, November 24, 2025
Charlotte, North Carolina, retains its excellent credit ratings from Moody’s, Standard & Poor’s, and Fitch, despite a rise in total debt to $5.77 billion. The city’s financial health and strict debt management are underscored by increasing building permits and strong economic indicators, showcasing continued growth amidst effective fiscal strategies.
Charlotte Maintains Top Credit Ratings Amidst Rising Debt Levels
Charlotte, North Carolina – Despite an increase in the city’s total debt, credit rating agencies have reaffirmed Charlotte’s top-tier financial standing. Moody’s Investors Service continues to assign an Aaa rating, while Standard & Poor’s and Fitch Ratings maintain their AAA ratings for the city. These assessments highlight Charlotte’s robust financial health and effective debt management strategies.
Financial Overview
As of June 30, 2023, Charlotte’s total debt stood at $5.77 billion, up from $5.34 billion the previous year. The majority of this debt comprises revenue bonds, which account for 58.2% of the total and are supported by specific fee revenues rather than the city’s taxing authority. This structure allows for more flexible financial management and reduces reliance on general taxation.
Debt Management and Legal Constraints
North Carolina law imposes a cap on general obligation debt, limiting it to 8% of the total assessed value of taxable property. For Charlotte, this legal debt margin was $9.8 billion as of June 30, 2023, indicating that the city operates well within the state’s prescribed limits. This prudent approach to debt issuance ensures fiscal responsibility and maintains investor confidence.
Economic Indicators and Future Outlook
Charlotte’s economic indicators remain strong. In fiscal year 2023, the city issued 24,071 building permits valued at over $9.1 billion, reflecting ongoing development and investment. Retail sales reached $34.1 billion, up from $31.0 billion in the previous year, indicating a healthy consumer economy. The unemployment rate stood at 3.5% in June 2023, slightly below both the state and national averages, suggesting a stable job market.
Looking ahead, assessed property valuations are projected to exceed $214.8 billion for 2024, a 38.4% increase from the previous year. This growth is expected to bolster the city’s revenue base and support continued infrastructure development. The fiscal 2024 operating budget has been set at $1.875 billion, marking an 8.5% increase over fiscal year 2023, and reflects a commitment to maintaining high-quality public services and infrastructure.
Conclusion
Charlotte’s ability to maintain top credit ratings despite rising debt levels underscores its effective financial management and strong economic fundamentals. The city’s adherence to legal debt limits, coupled with positive economic indicators, positions it well for sustained growth and fiscal stability in the coming years.
Frequently Asked Questions (FAQ)
What are Charlotte’s current credit ratings?
Charlotte holds an Aaa rating from Moody’s Investors Service and AAA ratings from Standard & Poor’s and Fitch Ratings, reflecting its strong financial health.
How much is Charlotte’s total debt?
As of June 30, 2023, Charlotte’s total debt was $5.77 billion, an increase from $5.34 billion the previous year.
What types of debt does Charlotte have?
The majority of Charlotte’s debt consists of revenue bonds, which account for 58.2% of the total and are backed by specific fee revenues rather than the city’s taxing authority.
What is North Carolina’s legal debt limit for municipalities?
North Carolina law limits general obligation debt to 8% of the total assessed value of taxable property. For Charlotte, this equated to a legal debt margin of $9.8 billion as of June 30, 2023.
What are the key economic indicators for Charlotte?
In fiscal year 2023, Charlotte issued 24,071 building permits valued at over $9.1 billion, retail sales reached $34.1 billion, and the unemployment rate was 3.5% in June 2023.
What is the projected property valuation for Charlotte in 2024?
Assessed property valuations are projected to exceed $214.8 billion for 2024, a 38.4% increase from the previous year.
What is Charlotte’s fiscal 2024 operating budget?
The fiscal 2024 operating budget is set at $1.875 billion, an 8.5% increase over fiscal year 2023.
Key Features of Charlotte’s Financial Status
| Feature | Details |
|---|---|
| Credit Ratings | Aaa (Moody’s), AAA (S&P and Fitch) |
| Total Debt | $5.77 billion as of June 30, 2023 |
| Debt Composition | 58.2% revenue bonds backed by specific fee revenues |
| Legal Debt Margin | $9.8 billion as of June 30, 2023 |
| Building Permits Issued (2023) | 24,071 permits valued at over $9.1 billion |
| Retail Sales (2023) | $34.1 billion |
| Unemployment Rate (June 2023) | 3.5% |
| Projected Property Valuation (2024) | Over $214.8 billion (38.4% increase) |
| Fiscal 2024 Operating Budget | $1.875 billion (8.5% increase) |
Deeper Dive: News & Info About This Topic
HERE Resources
South Carolina Concludes $1.8 Billion Accounting Error Investigation
Charlotte Residents May Face Increased Water and Stormwater Fees
Author: HERE Charlotte
The CHARLOTTE STAFF WRITER represents the experienced team at HERECharlotte.com, your go-to source for actionable local news and information in Charlotte, Mecklenburg County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Lovin' Life Music Festival, Charlotte Pride festival, and major sporting tournaments at Bank of America Stadium. Our coverage extends to key organizations like the Charlotte Regional Business Alliance and Foundation for the Carolinas, plus leading businesses in finance and entertainment that power the local economy such as Bank of America and NASCAR. As part of the broader HERE network, including HEREAsheville.com, HEREGreensboro.com, HERERaleigh.com, and HEREOBX.com, we provide comprehensive, credible insights into North Carolina's dynamic landscape.
