SA was dealt another blow late on Friday when Fitch Ratings downgraded the country further into junk, just a week after Moody’s Investors Service stripped the country of its last remaining investment grade. The rand extended its losses and crashed through R19/$.
Fitch said it had cut SA one notch to BB from BB+ because the country lacked a “clear path towards” stabilising its debt position, a situation that would be worsened by the effect of the Covid-19 shock on economic growth and public finances.
It maintained a negative outlook, meaning the next move is more likely to be further down the junk scale.
For the full story, visit BusinessLIVE.
SA downgraded again as Fitch moves us further into junk
Image: REUTERS/Brendan McDermid/Files
SA was dealt another blow late on Friday when Fitch Ratings downgraded the country further into junk, just a week after Moody’s Investors Service stripped the country of its last remaining investment grade. The rand extended its losses and crashed through R19/$.
Fitch said it had cut SA one notch to BB from BB+ because the country lacked a “clear path towards” stabilising its debt position, a situation that would be worsened by the effect of the Covid-19 shock on economic growth and public finances.
It maintained a negative outlook, meaning the next move is more likely to be further down the junk scale.
For the full story, visit BusinessLIVE.
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