MOODY’S PROJECTS JOB LOSSES IN ILLINOIS

A new report from Moody’s Analytics signals challenging times ahead for Illinois’ economy. Prepared for the state’s Commission on Government Forecasting and Accountability, the outlook projects Illinois will lag behind the Midwest and the nation in key measures next year. Employment statewide is expected to remain flat, while both gross state product and income growth will trail regional and national averages from late 2025 to late 2026. Analysts point to Illinois’ escalating pension obligations, a contracting tax base, and ongoing population loss as significant barriers. Policymakers are expected to weigh these findings as they consider options to improve the state’s financial outlook.