Ratings agency, Standard & Poor’s (S&P) Global, has kept South Africa’s credit rating unchanged.
S&P affirmed South Africa’s long-term foreign and local currency debt ratings at BB minus and BB respectively.
It also kept the country’s outlook unchanged at “stable.”
National Treasury has welcomed the rating decision, adding that S&P Global viewed the country’s outlook as stable, given its credible central bank, the country’s flexible exchange rate, an actively trade currency and its deep capital markets.
While economic growth has not yet been forthcoming and concerns about the country’s growing debt were raised as a cause for concern, the rating agency noted that the private sector had made substantial investments in power generation and renewable energy, which are expected to help, in part, support economic growth over the medium-term.
The government has said that it will continue its push to resolve electricity and logistical constraints to help catalyze growth in the local economy.