Rating agency Fitch has affirmed South Africa’s credit rating at the current sub-investment grade of double-B-minus (BB-) with a stable outlook.
According to Fitch, South Africa’s credit rating is constrained by several factors, including low real growth, high poverty and inequality levels, along with rising government debt-to-GDP ratio.
However, the rating is supported by a favourable government debt structure with long maturities that is dominated mostly in local-currency, with strong institutions and a credible monetary policy framework.
National Treasury says it has noted the latest Fitch review and it will continue to focus on maintaining macroeconomic stability to reduce living costs and grow investment.
