NewsLite SA
ADVERTISEMENT
  • Home
  • News
  • Tech
  • Lifestyle
No Result
View All Result
  • Home
  • News
  • Tech
  • Lifestyle
No Result
View All Result
NewsLite SA
No Result
View All Result
Home Economy

South African Rand collapse to R19 per dollar

NewsLite by NewsLite
3rd Apr 2020
in Economy, Featured
2 min read
0
107
SHARES
Share on FacebookShare on TwitterShare on WhatsAppShare on Telegram

South Africa suffered another blow on Friday afternoon as government debt was downgraded to deeper junk status by Fitch Ratings.

This immediately weakened the rand to more than R19 per dollar in New York trading. 

Fitch Ratings downgraded South Africa to junk status in April 2017, lowered its ratings by one level and put a negative outlook on it. Both government debt in rand and in foreign currencies were downgraded to BB on Fitch’s scale.

The negative outlook reflects the risk that government debt will continue to rise and growth will be even more sluggish due to the global impact of the coronavirus crisis.

Fitch now expects economic growth of -3.8% for 2020 and only moderate recovery of 1.7% in 2021.

The grader says the impact of the restriction will be felt for a long time due to disruption of supply chains and global demand.

The downgrade comes just a week after Moody’s Investors Service became the last major ratings agency to downgrade government debt to below investment grade.

Finance Minister Tito Mboweni says the downgrade does indeed have “adverse effects on the entire economy”, but he wants to assure all South Africans that the government is trying to reduce the impact of Covid-19

Share102Tweet2SendShare
Previous Post

Coronavirus: Confirmed cases rise to 1505 in South Africa and 9 confirmed deaths

Next Post

Health Minister: COVID-19 figures might not show true magnitude in SA

NewsLite

NewsLite

Next Post

Health Minister: COVID-19 figures might not show true magnitude in SA

Three’s deaths linked to taxi violence

Triple murder on farm shakes KZN

ANC councilor in court for attempted murder

Three arrested after murder of Smithfield farmer

Integrity Commission says Ace must stand aside

WATCH: Community cause chaos at Senekal court, attempts to overturn police van holding alleged killers

NewsliteSA is an independent South African news website with no agenda. NewsliteSA brings you breaking news, politics, celebrity, sport and world news.

Follow Us

Browse by Category

  • Business (16)
  • Celebrities (1)
  • Crime (281)
  • Economy (178)
  • Featured (682)
  • Gaming (1)
  • Health (9)
  • International (44)
  • Journalism (32)
  • Lifestyle (5)
  • Money (10)
  • News (2,055)
  • Politics (52)
  • Sport (22)
  • Tech (8)
  • Video (294)
  • Viral (1)
  • Weather (2)

Recent News

Three’s deaths linked to taxi violence

15th Dec 2020
Triple murder on farm shakes KZN

Triple murder on farm shakes KZN

15th Dec 2020
  • Contact Us

© 2020 NewsLiteSA - [email protected]

No Result
View All Result

© 2020 NewsLiteSA - [email protected]