Moody's outlook backs Cyril
There is still scope and a window for a policy response to gradually address economic and fiscal issues
Ratings agency Moody's says it will keep its stable outlook on SA's credit rating, banking on a strong policy response it expects from President Cyril Ramaphosa.With the election over and Ramaphosa showing political willingness to tackle some reforms, the agency's vice-president and senior credit officer responsible for SA, Lucie Villa, said this week that the president has some room to manoeuvre. "There is still scope and a window for a policy response to gradually address economic and fiscal issues," she said.Villa this week gave investors Moody's outlook on SA in the wake of the state of the nation address and Ramaphosa's announcement of his cabinet.Moody's is the only one of the three major investment ratings agencies that has not slashed SA's sovereign debt to sub-investment grade (or "junk"), keeping it at Baa3 witha stable outlook.S&P Global Ratings and Fitch Ratings downgraded the country's sovereign debt to junk in 2017, shortly after former president Jacob Zuma sacked...
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