South Africa may have dodged a credit rating downgrade on Friday, but the current economic climate has left local company directors feeling negative about business prospects. The Directors' Sentiment Index Report, produced by the Institute of Directors Southern Africa, noted that uncertainty about the domestic economy was viewed as an even greater impediment to business than labour and skills issues.The online survey of 441 company directors is the institute' s first such report.Parmi Natesan, the chief executive of the Centre for Corporate Governance at the institute, said "what our corporate leaders think impacts society as a whole, and needs to be understood". Economist Dawie Roodt, who participated in the survey, said: "Negativity feeds on other negativity, and the way in which directors feel about issues such as the economic climate, governance and policy-making is reflected in their sentiments." Of those surveyed, 338 were Institute of Directors Southern Africa members, with most of the remaining interviewees coming from SMMEs, the public sector and non-profit organisations.Other concerns were the fluctuating exchange rate, the impact of broad-based black economic empowerment on business, poor consumer confidence, and corruption in governance.Non-institute members rated rising interest rates and high tax levels as their top two challenges in the economic category. Female directors were more concerned about a declining credit rate, high tax levels and rising interest rates, while most male respondents considered social and political unrest the biggest worries.Roodt said it would be difficult for those in business to "snap out" of this way of thinking.Though Roodt felt relieved by Standard & Poor's decision to keep South Africa's credit rating unchanged, he said a downgrade would have been an "ironic" motivator for the country...