The recent political changes, including a change in guard at the South African Revenue Service (SARS), have bolstered the view that SA will avoid a credit ratings downgrade on Friday when Moody’s is scheduled to make a decision. On Monday, President Cyril Ramaphosa announced the suspension of SARS commissioner Tom Moyane, who has been shrouded in controversy. Ramaphosa said on Monday in a scathing letter that he had "lost confidence in his [Moyane’s] ability to lead SARS". "This is a guy who has been clouded in corruption with his cronies. Moody’s doesn’t look at individuals but the long-term implications," said economist Thabi Leoka. SARS has reported revenue shortfalls on a scale not seen since the 2008 financial crisis. Under Moyane, a shortfall of R48.2bn is expected for 2017-18. According to the Treasury, this reflects weak economic growth, administrative challenges within the agency and increased tax avoidance. The appointment of Martin Kingon to replace Moyane for now would b...

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