SA facing possible downgrade

Fitch and S&P country reviews are due this week with Fitch likely to downgrade South Africa by one notch‚ according to Investec economist Annabel Bishop. If this happens it could result in further rand weakness‚ she says. “Fitch has South Africa’s long-term local currency sovereign rating at BBB+ and South Africa’s long-term foreign currency sovereign rating at BBB‚ with respective negative outlooks‚” Bishop notes.