S&P affirms 'AA+' credit rating for US, cites economic resilience

June 26 - S&P Global affirmed its "AA+" credit rating for the U.S. on Friday, saying the economy's resilience supported solid fiscal revenue collection.

The ratings agency said it expected the U.S. economy to grow at around 2% over 2026 to 2029, adding that despite heightened political polarization, strong institutions and the system of checks and balances will continue to anchor policy outcomes.

"Broad revenue buoyancy, including solid tariff income, should help mitigate the risk of fiscal slippage," it said.

The U.S. economy grew faster than previously estimated in the first quarter, with the gross domestic product increasing at an upwardly revised 2.1% annualized rate. Economists polled by Reuters had expected that GDP growth would be unrevised at a 1.6% rate.

The boost ?to growth from lower imports was partially offset by a sharp downgrade to consumer ?spending, which accounts for more than two-thirds of the economy.

S&P, which became the first ratings agency to cut the pristine U.S. government rating in 2011, said the outlook on the U.S. rating remains stable.

The stable outlook incorporates its view about the strength of the U.S. economy despite changes in domestic and international policies.

It also said that robust AI investment was expected to remain a key pillar of overall investment, though it added that the longer-term productivity gains from AI remain uncertain at this stage.

(Reporting by Sri Hari N S in Bengaluru; Editing by Anil D'Silva)