Rating agency Fitch has revised its outlook for South Africa to negative but it has affirmed its rating at BB+. It said it had revised its outlook on South Africa’s long-term foreign-currency rating to negative from stable.
Fitch cited lower GDP growth and increased spending on State-Owned Entities (SOE’s) as a reason for the rating. This comes after the National Assembly has accepted the special appropriation bill to give Eskom a financial boost over two years.
However Moody’s is the only agency of the big three that has South Africa in positive territory.