S&P keeps SA sovereign credit rating unchanged

Cape Town -  Ratings agency S&P Global Ratings on Friday evening kept South Africa’s sovereign credit rating unchanged.

It affirmed SA’s rand debt at "BB+", first notch of sub investment grade, and kept SA’s foreign-currency debt unchanged at "BB", the second grade of junk status. 

The announcement was broadly in line with the expectations of economists. 

In its credit ratings announcement made at 22:30, S&P said that the country still faced considerable economic challenges. 

"Despite upward revisions, South Africa's economic growth remains tentative, and the government's debt burden continues on a rising path," it said."After the recent political transition, authorities are pursuing key  economic and social reforms, but we consider the economic and social challenges the country faces as considerable."

The decision comes two months after rival ratings agency Moody's decided to keep SA at investment grade. At the time Moody's said it was of the opinion that the previous weakening of South Africa's institutions would "gradually reverse under [the] more transparent and predictable policy framework" of President Cyril Ramaphosa. 

* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month. You can cancel anytime and if you cancel within 14 days you won't be billed. 
Subscribe to News24
Rand - Dollar
15.77
+0.7%
Rand - Pound
19.69
-0.0%
Rand - Euro
16.65
-0.0%
Rand - Aus dollar
11.09
+0.1%
Rand - Yen
0.12
-0.0%
Gold
1,846.66
0.0%
Silver
21.76
0.0%
Palladium
1,970.00
0.0%
Platinum
958.50
0.0%
Brent Crude
112.55
+0.5%
Top 40
61,000
-1.2%
All Share
67,575
-1.0%
Resource 10
72,529
+1.6%
Industrial 25
72,948
-3.9%
Financial 15
15,746
+0.1%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot