Fitch Ratings affirmed the United States' sovereign credit rating at 'AA+' with a stable outlook, citing the large economy, high per-capita income, and the dollar's reserve currency status. The agency projects US debt-to-GDP to reach 127% by 2027.
The affirmation of the 'AA+' rating provides continued confidence in the U.S. economy's stability and the dollar's global standing, though projected increases in debt-to-GDP and moderate growth forecasts warrant attention for investors and policymakers.
Fitch Ratings has affirmed the United States' sovereign credit rating at 'AA+' with a stable outlook, citing the nation's substantial economy, high per-capita income, and the U.S. dollar's position as the primary global reserve currency. The agency highlighted the U.S. economy's resilience and flexibility in absorbing shocks, despite factors like tariffs and policy uncertainty.
However, Fitch projects the U.S. debt-to-GDP ratio to rise from 114.5% at the end of 2024 to 127% by the close of 2027. The agency also revised its real GDP growth forecast downwards, estimating 1.9% for 2026 and around 2% for 2027. These forecasts are influenced by headwinds including persistent inflation impacting consumer spending, volatile energy prices due to geopolitical tensions, and the ripple effects of tariff policies on supply chains.
Fitch had previously downgraded the U.S. from its AAA rating in August 2023. The current stable outlook suggests no imminent further downgrade is anticipated by the agency.