Home Terkini S&P’s higher ed outlook stays negative in 2020 – Education Dive

S&P’s higher ed outlook stays negative in 2020 – Education Dive

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Dive Brief:

  • S&P Global Ratings gave nonprofit colleges and universities a negative outlook for the third-straight year, citing continued challenges that could do more to hurt than help institutions’ credit ratings.
  • However, well-resourced institutions with broader reach and recognition are expected to fare better than smaller, regional schools, the ratings agency noted in a report explaining its outlook.
  • The outlook comes a month after Moody’s Investors Service upgraded the sector’s rating to stable for 2020, while Fitch Ratings kept its negative.

Dive Insight:

A common theme among all three ratings agencies’ 2020 outlook reports is that the headwinds higher ed is coming up against — including the slow post-recession recovery in state funding, tuition price sensitivity, and decrease in the supply of high school graduates and international students  are affecting groups of schools differently. 

Some institutions have adjusted to this scenario, which S&P calls the “new normal.” Those colleges have implemented viable strategies for recruiting and retaining students, managing their budgets and finding additional sources of revenue.

That’s…



Read More: https://www.educationdive.com/news/sps-higher-ed-outlook-stays-negative-in-2020/570715/

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Source: https://www.educationdive.com/news/sps-higher-ed-outlook-stays-negative-in-2020/570715/

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