JOHANNESBURG – It’s official. South Africa has been junked.
The global Coronavirus outbreak wasn’t enough to stop Moody’s ratings agency from cutting the country’s sovereign credit rating to sub-investment grade.
The long-term foreign-currency and local-currency ratings have been lowered from Baa3 to Ba1.
Moody’s cites a continuing deterioration in fiscal strength and structurally very weak growth as their reason for the downgrade.
All three major ratings agencies have now moved South Africa to junk status.