Fitch affirms US AAA rating after review

Fitch Ratings Friday affirmed US long term credit rating at "AAA" with a stable outlook and resolved the negative watch it placed on the country's credit rating in October, Xinhua reported.

The rating agency started a review of the AAA rating of the US in October 2013, warning the rating may be downgraded. Fitch had said a resolution would take place by the end of March.

Fitch said in a statement the federal debt limit was suspended in mid February in a timely manner and in a way that avoided casting uncertainty over the full faith and credit of the US.

Fitch forecast US gross general government debt to peak at 100 percent of Gross Domestic Product (GDP) in 2014 and this is below the threshold of 110 percent that it previously identified as incompatible with a "AAA" rating.

Moreover, Fitch said the US has achieved strong fiscal consolidation and the Federal Reserve has started normalising its monetary policy.

It expected US economic growth to accelerate from 1.9 percent in 2013 to 2.8 percent in 2014 and 3.1 percent in 2015.