Ratings agency Moody’s has confirmed Australia’s triple-A status.

But the analysts are uneasy about high “and rising” levels of household debt in Australia.

Still, they say current fiscal policy settings should allow Australia to maintaining its top triple-A sovereign credit rating.

The nation rates highly on economic strength, institutional strength and fiscal strength in Moody's' latest update.

Australia’s troubles include large external liabilities, persistent fiscal deficits and household debt levels that expose the banking sector and broader economy to shocks.