Kathrine Frich
The US now finds itself trailing behind a select group of countries deemed more financially stable.
Once seen as the gold standard of global creditworthiness, the US now finds itself trailing behind a select group of countries deemed more financially stable.
Moody’s has joined S&P and Fitch in downgrading the United States’ credit rating from AAA to Aa1.
The move highlights growing concerns over America’s ballooning debt, rising interest payments, and persistent fiscal deficits.
Canada: North America’s Triple-A Standout
While its southern neighbor falters, Canada continues to hold a triple-A rating across all major agencies.
Praised for its conservative banking system, fiscal discipline, and political stability, Canada now stands as North America’s most creditworthy nation.
Australia: Resilient Economy, Strong Credit
Australia has maintained its AAA rating, backed by a diversified economy, low government debt, and sound fiscal management.
Its ability to rebound from global shocks has made it a favorite among investors, and now officially more creditworthy than the US.
Germany: Europe’s Financial Anchor
As Europe’s largest economy, Germany is a fiscal powerhouse.
Despite shouldering EU-wide obligations, Berlin’s commitment to budget surpluses and low public debt keeps it firmly in the AAA club, above the United States.
Switzerland: The Benchmark of Stability
Neutral, wealthy, and ultra-conservative with public spending, Switzerland remains a poster child for financial stability.
Its triple-A rating reflects a rock-solid economy with virtually no sovereign risk.
Sweden: Social Model, Fiscal Strength
With a strong welfare state and disciplined budgeting, Sweden continues to enjoy top-tier credit status.
The Nordic nation is often cited as proof that generous social spending doesn’t have to come at the cost of debt sustainability.
Norway: Oil Wealth, Future Planning
Thanks to its sovereign wealth fund, one of the largest in the world, Norway maintains a pristine AAA rating.
Its ability to invest windfall oil revenues rather than overspend keeps it financially insulated and highly rated.
Denmark: Small, Efficient, and Trustworthy
With one of the lowest debt-to-GDP ratios in the developed world, Denmark is a model of fiscal prudence.
Its strong institutions and export-driven economy continue to secure it a top credit rating.
Netherlands: Compact and Creditworthy
The Netherlands combines a high-income economy with tight fiscal controls, earning it a spot in the triple-A tier.
Its role as a key European trade hub adds to its stability and investor confidence.
Singapore: Asia’s Credit King
Singapore is the only Asian country with a AAA rating from all three major agencies.
Its low debt, strategic reserves, and world-class governance make it one of the most trusted borrowers globally.
Luxembourg: Small State, Massive Financial Clout
Though tiny in size, Luxembourg punches above its weight in global finance.
With a strong surplus, minimal debt, and a powerful banking sector, it remains one of the world’s most creditworthy nations.
The US Now Shares Its Rating With Austria and Finland
Post-downgrade, the United States now ranks alongside Austria, Finland, and Hong Kong, respectable economies, but no longer in the top league.
It remains just one step ahead of countries like South Korea, Ireland, and Qatar.