Fitch Rates Higher Ed ‘Stable’

Fitch Ratings changed its outlook for the higher education sector to "stable," saying in a report Wednesday that the return to predominantly in-person instruction and the huge influx of federal stimulus dollars would help the industry regain its footing for the rest of the calendar year.

The ratings agency warned that unfavorable demographic trends continue to pose threats to the sector's long-term viability and that the coronavirus could continue to have impact on some institutions, at least in some regions of the U.S. It also noted the almost certainly "nonrecurring" nature of the federal stimulus funds.