The United States’ “AAA” credit rating will remain on negative watch, despite a debt limit agreement that will allow the government to meet its obligations, Fitch Ratings said on Friday.
The U.S. Senate on Thursday passed bipartisan legislation backed by President Joe Biden that lifts the government’s $31.4 trillion debt ceiling, following months of bickering between Democrats and Republicans.
“Reaching an agreement despite heated political partisanship while reducing fiscal deficits modestly over the next two years are positive considerations,” Fitch said in a statement.
Read More : Fitch Retains Negative Outlook for U.S. Credit Rating Despite Debt Limit Resolution