Standard & Poor's raised the long-term regional credit ratings from BB- to BB on December 16, 2006. According to the company’s expert Irina Pilman, this upgrading reflects the stable income growth over the last three years as well as the attempts of the regional authorities to keep their debts at the low level. The plain duty will come to .1% of the current profits, the full debt will come to 2% at the end of 2006. The rating is also determined by the low flexibility and predictability of the region’s budget, pressure caused by increased social and infrastructure expenses, and the potential support of the municipal sector. Standard & Poor's expects the regional debt to remain low. The investments from the federal and regional budgets as well as from the private investors into the economy and infrastructure is expected to raise the amount of taxes collected and improve the standards of living. All this may further increase Sverdlovsk Region’s credit rating. The more extensive use of the medium-term financial planning might prove another positive factor. On the other hand, the dramatic reduction of outgoings may affect the rating badly, says the spokesperson for Standard & Poor's.