World of trouble: S&P Global warns SA may fall further into junk
The ratings agency’s negative outlook increases the likelihood it will downgrade SA again in coming months
Ratings agency S&P Global changed its outlook on SA’s sovereign credit rating from stable to negative late on Friday, citing ailing growth and the government’s worsening fiscal and debt trajectory.
“Low GDP growth, upwardly revised fiscal deficits, and a growing debt burden are damaging SA’s fiscal metrics,” the agency said.
Along with the state’s deteriorating fiscal position, the agency warned of political factors hindering much-needed reforms that could boost the economy...