The US ratings agency Moody's announced Friday it had affirmed Italy's credit rating at Baa3, and upgraded the country's outlook to "stable" from "negative," citing its significant economic strengths. "The decision to change the outlook to stable from negative reflects a stabilization of prospects for the country's economic strength, the health of its banking sector and the government's debt dynamics," Moody's said in a statement, reports BSS/AFP. It added that the decision to maintain Italy's credit rating above junk status at Baa3 is supported by its "significant economic strengths, including its robust manufacturing sector, high household wealth, and the low indebtedness of the private sector."