for subscribers

Junk status: Hard times ahead for consumers

Share your Subscriber Article
You have 5 articles to share every month. Send this story to a friend!
(iStock)
(iStock)

Johannesburg – Consumer confidence will take a knock following the downgrade of South Africa's credit rating to junk status by agencies Fitch and Standard & Poor’s (S&P), say analysts.

Leading up to the downgrade, South Africa had been faring well in terms of consumer confidence and was showing signs of improvement. Its ranking among eight emerging countries was at five, according to the emerging consumer survey by Credit Suisse.  

The research indicated that the country was heading towards economic growth in 2018, provided it steered a clear path through political, judicial, legislative and credit rating events in 2017. A better economic environment would have resulted in household consumer expenditure growth of over 2%.

There’s more to this story
Subscribe to News24 and get access to our exclusive journalism and features today.
Subscribe
Already a subscriber? Sign in
ZAR/USD
16.93
(+0.72)
ZAR/GBP
21.57
(+0.88)
ZAR/EUR
19.76
(+0.98)
ZAR/AUD
11.93
(+1.38)
ZAR/JPY
0.16
(+1.17)
Gold
1867.94
(+0.71)
Silver
23.17
(+5.69)
Platinum
848.00
(+1.91)
Brent Crude
41.98
(+0.17)
Palladium
2221.71
(+0.92)
All Share
54247.81
(+1.84)
Top 40
50127.05
(+2.04)
Financial 15
9588.13
(+0.19)
Industrial 25
74229.70
(+3.26)
Resource 10
53508.98
(+1.08)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 1359 votes
It depends on how the funds are used.
73% - 8816 votes
No. We should have gotten the loan elsewhere.
16% - 1947 votes
Vote