Moody’s downgrades US credit rating to Aa1 amid fiscal strains
Moody’s has downgraded the US long-term issuer and senior unsecured ratings from Aaa to Aa1, citing persistent fiscal deficits and surging debt and interest burdens. It forecasts Federal debt rising to 134 per cent of GDP by 2035, with interest payments consuming 30 per cent of revenue. The stable outlook reflects economic resilience, global financial dominance and US dollar’s reserve currency status.
Moody’s has downgraded the US long-term issuer and senior unsecured ratings from Aaa to Aa1, citing persistent fiscal deficits and surging debt and interest burdens.
It forecasts Federal debt rising to 134 per cent of GDP by 2035, with interest payments consuming 30 per cent of revenue.
The stable outlook reflects economic resilience, global financial dominance and US dollar’s reserve currency status.
