International credit rating agency Moody's has today reaffirmed Victoria's triple-A stable credit rating, the highest possible rating.

Triple-A credit

The rating reflects the strength of Victoria's economy - its underlying financial flexibility, diverse economic base and the growing confidence of the local market.

Victoria's economy grew by 2.5 per cent in the past financial year, a significant jump from the 1 per cent rise registered in the previous year, and above the national rate of 2.3 per cent.

Moody's, which made special mention of the state's strong higher education, tourism and manufacturing sectors, predicted further growth in the Victorian economy this financial year.

Moody's assessment follows the triple-A credit rating by Standard and Poor in August last year.