MUNICIPAL MARKET BRIEF: Moody’s Cuts Higher Education Outlook

March 19, 2025, 11:48 AM UTC

Universities in the US are facing higher risk “across the sector” because of moves by the Trump administration, according to Moody’s Ratings, which lowered its outlook for the US higher education sector to negative from stable. Moody’s analysts said in a report on Tuesday that recent and potential federal policy changes “create a more difficult operating environment for colleges and universities.” The outlook reflects the ratings company’s view of credit fundamentals in the US higher education sector over the next 12 months and is separate from the outlook for individual schools.

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