Moody’s downgrades SA to junk

[Spreadsheet Ranger]

South Africa’s Moody’s reprieve is over. The rating agency, the last to rate the country investment grade, has cut South Africa’s sovereign credit rating to junk in line with economists’ forecast. This comes as the country’s recession deepened by the impact of COVID-19 frustrates its economic reform efforts and stifles its plans to reduce government debt.

 

The action will result in South Africa’s expulsion from the World Government Bond Index (WGBI), as a consequence those funds tracking this index as a benchmark will become forced sellers.

Analysts have warned that the magnitude of this forced selling could be as high as $8 billion (R141 billion at R17.64 exchange rate). 

 

 

https://www.cnbcafrica.com/insights/sa-downgrade/2020/03/27/moodys-downgrades-sa-to-junk/

[Bandit]

Well, you've had 2 three years to kill off one of your debt burdens (SAA) and use that money to fix your electricity problem and also allow IPPs to feed back into the grid.

 

But no, let's dick about. Well, there you have it. Retards.