Will Moody’s downgrade South Africa’s government issuer rating to B or below before 1 April 2016?

The South African gov’t is publicly addressing ratings issues, reports the Financial Times: “Jacob Zuma has vowed urgent ‘concrete action’ to prevent South Africa’s debt from being downgraded to junk as pressures mount on the country’s $350bn economy”[1]. I’m not sure whether or not South Africa can avoid any kind of downgrade from Moody’s, as the ratings agency has been making some pretty negative remarks lately[2]. But South Africa is almost certain (99% chance) to avoid being dropped all of the way the B-status.

[1] http://www.ft.com/intl/cms/s/0/6a264dce-d40b-11e5-8887-98e7feb46f27.html#axzz40RIHTHWR
[2] http://www.rdm.co.za/business/2016/02/16/ratings-agency-s-chilling-warning-on-sa-economy

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