Fitch downgraded its credit outlook of deeply-troubled South Africa on Friday, but loan bankers, both in and outside the country, are confident that a lack of primary EM supply and an established banking sector will keep margins tight and lenders attracted. At least for now.
Fitch downgraded South Africa's outlook from stable to negative, citing the deterioration of the country's fiscal metrics and the worsening debt situation of state power company Eskom. The move did not come as a surprise to spectators familiar with the South African market.
Last week, the government announced a