Moody’s SA rating delay welcomed amid fears of weaker rand

Economist Goolam Ballim said that the upcoming elections will be defining for South Africa's investment market depending on the outcome.

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JOHANNESBURG - Moody's decision not to announce South Africa's sovereign credit outlook yet has been welcome amid fears the rand would have been noticeably weaker.

The ratings agency announced on Friday it would not publish the ratings as scheduled.

This means the country's rating remains unchanged at BAA3 with a stable outlook.

Economist Goolam Ballim said that the upcoming elections will be defining for South Africa's investment market depending on the outcome.

“If they had, the rand would have been more noticeably weaker, therefore, inducing not just higher petrol prices but also inflation. The pivotal period for South Africa is the general elections, given the cumulative reform that we have already witnessed.”

(Edited by Mihlali Ntsabo)