Politics drags down SA growth
Politics drags down SA growth

Politics drags down SA growth

Moody's Investor Services did not publish a ratings review of South Africa on Friday, as had been widely anticipated.
REUTERS
Political tensions in the ruling African National Congress will weigh on South Africa's growth, ratings agency Moody's said yesterday.

President Jacob Zuma survived a no-confidence vote in parliament last week but a few dozen lawmakers from his own party supported the motion that would have had him removed after eight years in office.

“Key constraints to growth are domestic, including political tensions and policy uncertainty,” the ratings agency said in its credit opinion statement on South Africa.

Moody's Investor Services did not publish a ratings review of South Africa on Friday as had been widely anticipated.

Moody's has South Africa's long-term foreign and local currency debt ratings at Baa3, with a negative outlook. It is the only ratings agency that has South Africa's foreign-currency and rand-denominated debt at investment grade.

On 9 June, Moody's downgraded South Africa's credit ratings, some two months after both Standard & Poor's and Fitch had downgraded the foreign currency rating to junk status, following a far-reaching cabinet reshuffle at the end of March.

Both ratings agencies argued in their statements explaining the ratings decision that the executive changes initiated by President Jacob Zuma had put at risk fiscal and growth outcomes and caused policy uncertainty.

-additional reporting by FIN24



NAMPA/REUTERS

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Nam 2.22 SAME | Oryx Properties Ltd 12.1 UP 1.70% | Paratus Namibia Holdings 11.99 SAME | SBN Holdings 8.45 SAME | Trustco Group Holdings Ltd 0.48 SAME | B2Gold Corporation 47.34 DOWN 1.50% | Local Index closed 677.62 UP 0.12% | Overall Index closed 1534.6 DOWN 0.05% | Osino Resources Corp 19.47 DOWN 2.41% | Commodities: Gold US$ 2 212.07/OZ UP +0.97% | Copper US$ 3.98/lb DOWN -0.0008 | Zinc US$ 2 446.40/T DOWN -0.41% | Brent Crude Oil US$ 86.78/BBP UP +0.45% | Platinum US$ 898.23/OZ UP +0.37% Sport results: Weather: Katima Mulilo: 19° | 37° Rundu: 17° | 33° Eenhana: 18° | 33° Oshakati: 20° | 31° Ruacana: 19° | 33° Tsumeb: 17° | 29° Otjiwarongo: 16° | 28° Omaruru: 18° | 31° Windhoek: 17° | 28° Gobabis: 17° | 28° Henties Bay: 16° | 19° Wind speed: 24km/h, Wind direction: S, Low tide: 10:54, High tide: 04:57, Low Tide: 22:58, High tide: 17:16 Swakopmund: 15° | 17° Wind speed: 29km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:55, Low Tide: 22:56, High tide: 17:14 Walvis Bay: 16° | 22° Wind speed: 33km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:54, Low Tide: 22:56, High tide: 17:13 Rehoboth: 18° | 29° Mariental: 22° | 32° Keetmanshoop: 21° | 34° Aranos: 21° | 31° Lüderitz: 15° | 29° Ariamsvlei: 23° | 34° Oranjemund: 15° | 21° Luanda: 27° | 30° Gaborone: 20° | 32° Lubumbashi: 17° | 24° Mbabane: 15° | 23° Maseru: 12° | 28° Antananarivo: 16° | 27° Lilongwe: 17° | 29° Maputo: 20° | 28° Windhoek: 17° | 28° Cape Town: 17° | 23° Durban: 21° | 25° Johannesburg: 18° | 28° Dar es Salaam: 26° | 32° Lusaka: 18° | 30° Harare: 15° | 31° Economic Indicators: Currency: GBP to NAD 23.96 | EUR to NAD 20.53 | CNY to NAD 2.63 | USD to NAD 19.03 | DZD to NAD 0.14 | AOA to NAD 0.02 | BWP to NAD 1.33 | EGP to NAD 0.39 | KES to NAD 0.14 | NGN to NAD 0.01 | ZMW to NAD 0.74 | ZWL to NAD 0.04 | BRL to NAD 3.8 | RUB to NAD 0.2 | INR to NAD 0.23 | USD to DZD 134.35 | USD to AOA 832.63 | USD to BWP 13.71 | USD to EGP 47.3 | USD to KES 130.98 | USD to NGN 1415.13 | USD to ZAR 19.02 | USD to ZMW 24.97 | USD to ZWL 321 | Stock Exchange: JSE All Share Index 73909.5 Up +0.41% | Namibian Stock Exchange (NSX) Overall Index 1516.02 Down -0.13% | Casablanca Stock Exchange (CSE) MASI 12981.98 Up +0.34% | Egyptian Exchange (EGX) 30 Index 28224.37 Down -2.87% | Botswana Stock Exchange (BSE) DCI Same 0 | NSX: MTC 7.75 SAME | Anirep 8.99 SAME | Capricorn Investment group 17.34 SAME | FirstRand Namibia Ltd 49 DOWN 0.50% | Letshego Holdings (Namibia) Ltd 4.1 UP 2.50% | Namibia Asset Management Ltd 0.7 SAME | Namibia Breweries Ltd 31.49 UP 0.03% | Nictus Holdings - Nam 2.22 SAME | Oryx Properties Ltd 12.1 UP 1.70% | Paratus Namibia Holdings 11.99 SAME | SBN Holdings 8.45 SAME | Trustco Group Holdings Ltd 0.48 SAME | B2Gold Corporation 47.34 DOWN 1.50% | Local Index closed 677.62 UP 0.12% | Overall Index closed 1534.6 DOWN 0.05% | Osino Resources Corp 19.47 DOWN 2.41% | Commodities: Gold US$ 2 212.07/OZ UP +0.97% | Copper US$ 3.98/lb DOWN -0.0008 | Zinc US$ 2 446.40/T DOWN -0.41% | Brent Crude Oil US$ 86.78/BBP UP +0.45% | Platinum US$ 898.23/OZ UP +0.37%