World Economy

South Africa Urged to Boost Economy

South Africa Urged to Boost EconomySouth Africa Urged to Boost Economy

The ruling African National Congress voiced concern over a decision by international rating agency Moody’s to downgrade South Africa’s credit rating, Xinhua reported. The ANC called on government, the private sector and organized labor to use this latest downgrade as a catalyst for greater urgency in working to alter the country’s economic trajectory and boost confidence in the economy. “In particular, we call on the social partners to work together to expand private sector investment in the local economy, continue to maintain the stable labor relations environment, remain focused on government’s program of fiscal consolidation and strengthen governance in the state-owned companies and state institutions in general,” the party said in a statement emailed to Xinhua. Moody’s downgraded South Africa’s credit rating on Friday to one level above junk status with a negative outlook. The agency lowered the country by one notch from Baa2 from Baa3. Amongst the reasons cited for the decision is the perceived weakening of South Africa’s institutions, sluggish economic growth, slow implementation of structural reforms and policy uncertainty.


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