SA Credit Ratings are Remaining Steady
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South Africa’s credit ratings remain unchanged, with S&P Global Ratings reaffirming our long-term foreign and local currency debt at ‘BB-’ and ‘BB’, and maintaining a positive outlook.
What does this mean for your clients and the broader economy?
The Good News
Resilient financial system – South Africa’s well-developed banking and financial markets continue to provide reliable funding for government and business alike.
Credible institutions – The Reserve Bank and other oversight bodies remain a source of strength, helping to anchor investor confidence.
Fiscal focus remains – even post-Budget delay – Despite the postponed Budget and potential VAT policy shifts, Treasury has reassured markets that fiscal consolidation is still a top priority, with plans to reduce debt and tighten spending over time.
The Challenges
⚠️ Low GDP growth and income levels
⚠️ Large budget deficits and high public debt
⚠️ Risks if reforms stall or spending pressures increase
Even with talks of adjusting VAT, Treasury assures that fiscal consolidation is still on track—thanks in part to local capital markets and a flexible currency.
What to Tell Your Clients
Markets remain stable, for now—good for borrowing and investment planning.
Policy direction matters—watch for how budget tweaks and infrastructure plans unfold.
Business confidence depends on delivery—especially on reforms and debt control.
Let’s stay sharp on the numbers—SA’s financial story is far from finished.
Read the Media Statement from National Treasury for more information.
