MONDAY, 11.00AM:
LEADING credit rating agency Standard & Poor’s visited SA last week as part of a review process that could see SA’s international credit rating being upgraded.
The agency has refused to comment on the visit, which was confirmed by the finance department. S&P has given SA a credit rating one notch below the investment grade rating awarded by the other major rating agancy, Moody’s. A full investment grade rating from S&P could have important implications for SA as many US institutional investors are restricted in the amounts they can invest in non-investment-grade scrip, and require an investment grade rating from two agencies.
However, there are fears that the results of the recent market turmoil in the Far East might lead S&P to delay any upgrade of SA’s ratings.