The US government's credit rating has been downgraded following concerns over the state of the country's finances and its debt burden.
Fitch, one of three major independent agencies that assess creditworthiness, cut the rating from the top level of AAA to a notch lower at AA+.
"The rating downgrade of the United States reflects the expected fiscal deterioration over the next three years, a high and growing general government debt burden, and the erosion of governance" Fitch said in a statement.
US Treasury Secretary Janet Yellen called the downgrade "arbitrary," noting that it was based on "outdated data" from the period 2018 to 2020.
"Treasury securities remain the world's preeminent safe and liquid asset, and... the American economy is fundamentally strong," she said in a statement.
White House press Secretary Karine Jean-Pierre said in a statement that "we strongly disagree with this decision," and cited similar concerns about Fitchs modeling.
The last time the US debt was downgraded by another major credit rating agency, S&P, came in 2011. In both cases, the limit was raised only after protracted negotiations.
The new rating put the United States in level with the likes of New Zealand, Austria and Canada, below countries such as Denmark and Luxembourg, and within touching distance of France, Ireland and Czechia. (QNA)
Source: Qatar News Agency