Fitch: Confirms US 'AA+' Rating, Outlook Stable

Jin10 data reported on August 23 that Fitch has recently confirmed the United States’ rating as “AA+” with a stable outlook. Fitch stated that the sovereign rating of the United States benefits from its large economic scale, high per capita income, dynamic business environment, and the special financing flexibility brought by the dollar as the world’s major reserve currency. However, high fiscal deficits, heavy Interest burdens, and high and rising government debt levels limit this rating. The United States has not taken meaningful actions to address its large fiscal deficit, rising debt burden, and the imminent expenditure growth issues related to an aging population. Fitch predicts that driven by significant income growth, the government deficit as a percentage of GDP will decrease from 7.7% in 2024 to 6.9% in 2025, and then rise to 7.8% of GDP in 2026 and 7.9% of GDP in 2027.