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Business Unity South Africa said it hoped that the latest sovereign rating downgrades galvanised the country into taking urgent action to address the reasons for the downgrades by rating agencies, Moody’s and Fitch.
BUSA said the Moody’s downgrade places SA two notches into junk status, while the Fitch downgrade places the country three notches below junk status.
“This reinforces the severe socio-economic crisis confronting the country and should impress on all stakeholders the urgency with which clear hard decisions need to be taken,” it said.
“Short-term deliverables need to be implemented and credible and properly resourced plans for longer-term interventions need to be tabled,” BUSA added.
It said business stands ready to work with government and other social partners to cooperate in efforts to address the issues raised by the National Treasury and the rating agencies.
“This is not a time to cast blame but, instead, to come together and act urgently! But the principal levers do lie with government and those we have mandated to govern must now lead decisively,” BUSA said.
