INDIANAPOLIS — State officials say an improved credit rating will save money by reducing interest rates on public debt.

Gov. Mitch Daniels announced Monday that Indiana has for the first time received the highest credit rating from Standard & Poors.

Office of Management and Budget director Ryan Kitchell says the AAA rating will allow the state to refinance some of the debt on Lucas Oil Stadium, saving the state $850,000 a year.

He said school systems also should see lower interest rates on their bond issues.

S&P cited changes in the state’s property tax system and its stable economy for the upgrade.

A spokesman for Democratic gubernatorial candidate Jill Long Thompson said that while the credit upgrade was positive, the state’s unemployment rate has also increased.