{"id":280255,"date":"2018-10-26T10:39:22","date_gmt":"2018-10-26T08:39:22","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=280255"},"modified":"2018-10-26T10:39:22","modified_gmt":"2018-10-26T08:39:22","slug":"south-africas-mid-term-budget-is-credit-negative-moodys","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/government\/280255\/south-africas-mid-term-budget-is-credit-negative-moodys\/","title":{"rendered":"South Africa’s mid-term budget is credit-negative: Moody’s"},"content":{"rendered":"

South Africa\u2019s mid-term budget unveils a weaker fiscal outlook, which is credit-negative, Moody\u2019s Investors Service said.<\/p>\n

“The revenue assumptions underpinning the medium-term fiscal projections are achievable, but the broadly unchanged spending ceilings will be challenging to meet as the government aims to strike a balance between economic, social, and fiscal objectives,” the credit company said in an issuer comment Thursday.<\/p>\n

Moody\u2019s, the only one of three major ratings companies that still assesses South Africa at investment grade, has said it wants to see government debt stabilizing.<\/p>\n

It will peak two years later, and higher, than previously forecast, finance minister Tito Mboweni said in the mid-term budget policy statement Wednesday.<\/p>\n

The fiscal gap will widen further and state revenue will continue to undershoot, he said.<\/p>\n

The Treasury more than halved its economic growth forecast for 2018 to 0.7% after the economy plunged into a recession in the first half of the year.<\/p>\n

Gross domestic product hasn\u2019t expanded at more than 2% annually since 2013 and unemployment is at 27%.<\/p>\n

\n

Read: Fitch sees <\/a>muted impact from SA measures to boost growth<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

South Africa\u2019s mid-term budget unveils a weaker fiscal outlook, which is credit-negative, Moody\u2019s Investors Service said.<\/p>\n","protected":false},"author":59,"featured_media":178577,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[23],"tags":[26],"class_list":["post-280255","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/280255","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=280255"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/280255\/revisions"}],"predecessor-version":[{"id":280259,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/280255\/revisions\/280259"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/178577"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=280255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=280255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=280255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}