Standard & Poor’s Affirms U.S. Credit Rating at AA+ with Stable Outlook
Standard & Poor’s Global Ratings has affirmed the United States’ sovereign credit rating at AA+, maintaining a stable outlook. The agency noted that additional tariff revenues imposed by President Donald Trump are expected to offset part of the fiscal pressures arising from recent tax and spending legislation.
In July, Trump signed into law what he described as the “big, beautiful bill,” passed by the Republican-controlled Congress. The legislation included new tax exemptions and made the 2017 tax cuts permanent, while also expanding federal spending.
According to Standard & Poor’s, the increase in effective tariff rates should generate substantial revenues to cushion the weaker fiscal results linked to these measures. Official data showed that the U.S. collected around $21 billion in tariff revenues in July. However, the federal budget deficit continued to widen, reaching $291 billion for the month — an increase of nearly 20% year-on-year.
Standard & Poor’s emphasized that the U.S. credit outlook remains stable, forecasting that the average federal budget deficit will narrow to about 6.0% of GDP during 2025–2028, down from 7.5% in 2024 and from an average of 9.8% recorded between 2020 and 2023.
The agency highlighted that, while fiscal pressures persist, medium-term stability is supported by rising tariff revenues and a relative balance between tax and spending policies.
