Brussels keeps 'A' credit rating but debt remains 'far too high'

Ratings agency Standard & Poor’s (S&P) has maintained the Brussels region’s credit rating at ‘A’ but with a negative outlook, largely due to the high debt ratio.

The agency recognised the progress made in terms of the budgetary trajectory and cash position, according to Brussels finance minister Dirk De Smedt.

“This rating confirms recognition of our work,” said De Smedt.

“We’ve taken significant steps forward in 2025 and are on the right track in 2026. The deficit is falling, our measures are being implemented and our cash position has improved. This inspires confidence, but it’s no reason to rest on our laurels.”

According to De Smedt, S&P expects a further reduction in the budget deficit and a slower-than-expected rise in debt. 

For 2026, the agency forecasts a slight operating surplus. At the same time, the high debt-to-GDP ratio remains a significant vulnerability.

“S&P’s message is clear: we’ve made progress, but we’re not there yet,” said De Smedt.

“Our debt remains far too high. The task now is to deliver on the agreed budgetary targets.”

In 2027, the budget deficit is expected to fall to about 10%, compared with 25% in 2024. 

S&P highlighted the improvement in the cash position, notably thanks to the various credit facilities the region has secured in recent months. 

In a forthcoming review, the rating agency will assess whether the budgetary targets set are being reflected in the figures and whether the cash position continues to stabilise.