Moody’s Investors Service downgraded a record $311 billion of public finance debt in 2012, surpassing the previous 2009 record of $256 billion, a negative trend that the rating agency said is likely to continue this year.

The 2012 downgrades, 824 in total, were a 60% increase over the $194 billion of debt in 518 downgrades the previous year, Moody’s said in a 16-page report released Friday.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.