One likes to think that Nobhekisisa Zuma – father of Jacob ‘one who laughs while grinding his enemies‘ (Gedleyihlekisa) Zuma, along with Geinamazwi Zuma – mother of the ‘laughing one’ needs to take some blame for our #junkstatus as well.
One can only hope that the ‘laughing one’ has had some guilty feelings and now wishes that maybe his parents should have encouraged him to become a doctor – just for the reason above.
Contemplating the very thought that Zuma actually does not give a flying fig and feels no guilt for his actions is just too terrible to contemplate and, if it is so, then he deserves all the contempt and hate being directed towards him for being so very, very selfish.
Background:
It took just 90 hours after President Jacob Zuma axed Pravin Gordhan as finance minister for South Africa’s credit rating to be downgraded to junk status for the first time in 17 years.
The national treasury, steered by Gordhan, had made a concerted effort in the past 15 months to keep a dreaded ratings downgrade at bay but on Monday evening – almost four days after Gordhan was fired – Standard and Poor’s Global Ratings (S&P) announced that South Africa’s long-term foreign currency sovereign credit rating would be downgraded to sub-investment grade or junk status. The local currency rating was also cut, but remains one notch above junk. S&P’s outlook on both ratings is negative.
S&P on Monday 3 April 2017 moved South Africa’s credit rating to speculative grade (commonly referred to as “junk”), a one-notch reduction to BB, and the ratings agency said “the economic crises President Jacob Zuma plunged the country into with his midnight cabinet reshuffle” prompted it to hold an emergency review at the weekend instead of June 2, as was scheduled, according to Business Day.
The decision follows President Jacob Zuma’s Cabinet reshuffle on Thursday where several ministers, including Finance Minister Pravin Gordhan and his deputy, Mcebisi Jonas, were axed. Experts say other ratings agencies are likely to follow suit.
Government noted the negative rating decision, saying:
Government has noted the sovereign rating announcement by rating agency Standard and Poor’s (S&P) to downgrade South Africa to sub-investment grade.
“This rating announcement calls for South Africans to reflect on the need to sustain and act with urgency to accelerate inclusive growth and development so that we can reverse the triple challenge of poverty, unemployment and inequality,” said National Treasury.
The statement issued by Treasury on Monday night said reducing reliance on foreign savings to fund investment and relying less on debt to finance public expenditure will secure South Africa’s fiscal sovereignty and economic independence.
This, as S&P Global Ratings agency downgraded South Africa.
“Government notes the sovereign rating announcement by S&P. While S&P has lowered its rating of foreign currency-denominated debt to a sub-investment grade, rand-denominated debt – which constitutes 90% of the debt portfolio – retains its investment-grade rating,” said Treasury.
Government noted that while the leadership of the finance portfolio has changed, government’s overall policy orientation remains the same.
Speaking at a South African Revenue Service (SARS) media briefing earlier on Monday, newly appointed Finance Minister Malusi Gigaba said: “Government has been, and will remain, committed to a measured fiscal consolidation that stabilises the rise in public debt”.
The Treasury said the country is committed to a predictable and consistent policy framework, which responds to changing circumstances in a measured and transparent fashion.
“Open debate in a democratic society should not be a cause for concern, but reflects an important means to accommodate differing views. South Africa’s constitutional arrangements remain robust. These key institutional strengths are acknowledged by rating agencies,” it said.
Government remains committed to making sure that its work with business, labour and the civil society continues in order to improve the business confidence and implement structural reforms to accelerate inclusive economic growth, it said.
Alan Straton
Latest posts by Alan Straton (see all)
- South African Artist MARTHINUS Releases Debut Single - 6 November 2026
- MARTHINUS Releases Heartfelt Debut ‘i miss us not trying’ - 6 November 2026
- LaserWeeder Hire Runs Laser Units for SA Vegetable Growers - 6 November 2026
- HandPrinter Art Runs Linocut Workshops and Beginner Kits - 6 November 2026
- Feature Equipment Adds AM.CO.ZA Tooling and Laser Spares Shelf - 6 November 2026
