(Reuters) – S&P Global Ratings on Friday lowered South Africa’s credit rating to ‘BB’ from ‘BB+’, citing the country’s “weakening” economic and fiscal trajectory.
S&P lowered its long-term foreign currency sovereign credit rating on South Africa by one notch and affirmed short-term foreign currency sovereign credit rating at ‘B’.
“South Africa’s economy has stagnated and external competitiveness has eroded,” the ratings agency said.
This is because the country’s economic decisions in recent years have largely focused on the distribution of its national income, instead of its growth, S&P said.
The outlook on both the foreign currency and local currency ratings is stable.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Source: Investing.com