Amid mounting expectations of more credit ratings downgrades for SA, Vodacom said on Monday that it had increased its fixed-rate borrowings from 20% to 50% of debt to hedge against this risk. CEO Shameel Joosub said the mobile network operator had made the adjustments in early 2017. Fitch and S&P Global Ratings withdrew SA’s investment-grade status in April and economists expect further downgrades and higher borrowing costs. S&P and Moody’s are to announce their rating reviews on November 24. Moody’s is the only ratings agency that has SA one notch above subinvestment grade. Johann Els, senior economist at Old Mutual Investment Group, said "the lack of plans for fiscal consolidation and reining in the debt ratio means that SA’s local currency credit ratings will likely be cut to junk status within weeks". He said multiple downgrades within the next six to 12 months "are very likely". "There will certainly be a downgrade," said Alexander Forbes Investments’ chief economist, Lesiba Mo...

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