LUKANYO MNYANDA: Borrowing at the short end risks leaving SA deeper in the mire
Our deficit is fast approaching levels that required weaker eurozone countries to seek bailouts a decade ago
Another week passes, and there is another credit downgrade. It’s not a good trend for SA, and talk of aid from the IMF and other bodies is becoming more conventional by the day.
The latest judgment on the country, this time by Fitch Ratings, wasn’t particularly surprising and the reasoning was more or less identical to that offered by Moody’s Investors Service when it downgraded SA a week before.