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Govt: SA cushioned from crisis

Nov 10 2008 20:40

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Johannesburg - South Africa's economy was largely cushioned from a global financial crisis and the impact on growth would be less than in other emerging markets, the top Treasury official said on Monday.

Treasury director general Lesetja Kganyago told Reuters concerns raised by Fitch when it cut the country's rating outlook to negative were misplaced and did not take into account decisions already taken to protect the economy.

Regulations had insulated the financial sector from the problems other countries faced, and its bank remained well capitalised.

"I would see it as the ratings agencies shouting fire in an already crowded hall," Kganyago said.

"The grounds on which they based the revision of South Africa's outlook, we do not they think are on solid grond and as such we were unhappy with it."

- Reuters

 
 
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