"Moody's Investors Service upgraded Detroit's bond rating again , getting the city one step closer to a major milestone in its financial recovery after falling into bankruptcy a decade ago.
Why it matters: It brings Detroit just one letter away from earning an investment grade rating for the first time since 2009 .
Context: Moody's ratings depict the quality of a government's debt — or how likely the city is to be able to repay that debt without defaulting on it.
State of play: Although Detroit is soon facing the end of a decade-long break from hefty pension payments , the city has balanced its finances well and is prepared to manage the new weight on its budget — at least for the first several years, Moody's analysts write.
Between the lines: The fiscal transparency nonprofit Truth in Accounting recently gave Detroit a C grade on an A-F scale of cities' fiscal health for the breadth of its debt due to bad decisions from previous elected officials.
What they're saying: "Going from bankruptcy and state financial oversight to being within striking distance of an investment grade rating in less than 10 years is a tremendous accomplishment," Mayor Mike Duggan said in a news release."