Fitch Ratings on Tuesday downgraded the U.S. government’s credit rating, after a partisan clash over its borrowing authority threatened default earlier this year.

Fitch lowered the U.S.'s long-term foreign-currency issuer default rating to AA+ from AAA.

“The repeated debt-limit political standoffs and last-minute resolutions have eroded confidence in fiscal management,” Fitch said Tuesday. “In addition, the government lacks a medium-term fiscal framework, unlike most peers, and has a complex budgeting process.”

The downgrade marks the second time in the U.S.’ history that a major credit agency has downgraded its debt. S&P made a similar decision in 2011 after President Barack Obama agreed to an 11th-hour deal with GOP leaders to stave off default.

Tuesday’s downgrade drew an immediate rebuke from Treasury Secretary Janet Yellen, who said in a statement that she strongly disagreed with Fitch’s decision.

“The change by Fitch Ratings announced today is arbitrary and based on outdated data,” Yellen said. “Fitch’s quantitative ratings model declined markedly between 2018 and 2020 — and yet Fitch is announcing its change now, despite the progress that we see in many of the indicators that Fitch relies on for its decision.“