Fitch: Water utilities on solid footing despite possible recession

Fitch Ratings says U.S. water utilities weathered the COVID-19 pandemic remarkably well and appear to be on solid footing, even as the broader economy inches closer to recession, according to the credit ratings company's annual peer review for the sector.

According to the review, slower economic growth and persistent inflation are leading Fitch economists to call for a possible recession in either late-2023 or early-2024. Nonetheless, most water utilities have fared well, evidenced by sustained operating revenue growth.