Ratings agency places SA on review for possible downgrade

National Treasury says it is pulling out all the stops to convince Moody's that government is on track to implement economic growth plans. 

Moody's has announced a move to place South Africa on review for a possible downgrade. 

There are three areas of concern that Moody has raised including South Africa's declining economic strength, government's ability to implement a plan to reverse this as well as concerns that there are some government policies that will undermine any efforts to grow the economy.

While Finance Minister Pravin Gordhan is busy on a roadshow talking to overseas investors in London, he has stressed that he and his officials have been meeting with rating agencies to allay their fears and to assure them that government is not going to default on its debt and is on track to implement the hard choices required to stabilise the economy.     

(File photo)