In respect to the issue a non western sovereign credit rating agency (CRA) Dagong International Credit Rating Co. in its debut international report downgraded the US to AA with a negative outlook, on the other hand UK and France were given AA-; while Belgium,Spain,Italy with A-;

The top notch rating certainly has helped with continuing debt financing and bolstered the confidence of some government officials. Secretary Geithner, for example, said in a February interview that the U.S. government “will never” lose its credit rating, despite big budget deficits and a newly raised debt ceiling of $14.3 trillion. Source (http://www.washingtontimes.com/news/2010/feb/07/geithner-us-credit-rating-safe-despite-debt/)

Dagong International Credit Rating Co. also rated debt risk of the US above China, and listed the US as one of the countries with exposure to increasing borrowing costs and default risks. In June, the total US debt topped $13 trillion for the first time in history. The International Monetary Fund (IMF) projected that the U.S. deficit will stand at 64% of GDP this year, rising to just over 96% by 2020.

Concerned that high unemployment may force a double dip recession, the IMF–just last week–urged the United States to rein in its budget deficit.

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