Wall Street says Zika virus won’t cause economic upheaval in Miami

The City of Miami and Miami-Dade County won't see bond ratings hurt by Zika virus, Wall Street says

The City of Miami and Miami-Dade County won’t see bond ratings hurt by Zika virus, Wall Street says

The historic travel advisory issued by the Centers for Disease Control and Prevention for Miami’s Wynwood neighborhood following the Zika virus outbreak shouldn’t trigger major economic upheaval, a Wall Street ratings agency said Monday.

Moody’s latest credit outlook said that both the City of Miami and Miami-Dade County’s bond ratings should hold steady, meaning their borrowing ability won’t be affected by the CDC’s first-ever warning not to travel to a U.S. location.

Sixteen cases of locally transmitted Zika virus have been reported in Miami, with only one outside the Wynwood neighborhood just north of downtown.

Moody’s said, “The warning will likely reduce travel to the region, affecting key sources of tax revenue linked to tourism, including sales, gas and tourist development taxes.

“Given that it is currently the low season for Florida tourism, the current limited travel guidance is not likely to significantly affect these tax streams over the next few months. However, if the guidance expands to include the entire city or remains in effect through the fall and into the high season of December to March, these revenue streams could experience declines.”

 

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