Moody's warns SA could reach junk status

File: According to Zuzana Brixiova, Moody's Sovereign Analyst for SA, talk about a possible cabinet reshuffle is adding to the agency's unease. Photo: Emmanuel Dunand / AFP

JOHANNESBURG - Ratings agency Moody’s says the recent attacks on the South African Reserve Bank and the judiciary could see South Africa downgraded to junk status.

The ratings agency held its 12th annual sub-Saharan Africa summit in Sandton on Wednesday.

READ: Fitch affirms SA's 'junk' rating, outlook stable

Earlier this year, Moody’s downgraded South Africa to one notch above junk, citing low economic growth and political uncertainty as some of its concerns.

The agency says South Africa should be wary about tampering with the independence of the South African Reserve Bank.

Just this week, it's alleged in court documents the Public Protector conspired with the Presidency to undermine the Reserve Bank.

Busisiwe Mkhwebane has denied the claims.

According to Zuzana Brixiova, Moody's Sovereign Analyst for SA, talk about a possible cabinet reshuffle is adding to the agency's unease. 

 

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