Fitch ups Nkangala to F1+(zaf)

Fitch Ratings said it affirmed the Nkangala District Municipality's long-term local-currency rating at BBB+ and national long-term rating at AA-(zaf).

The agency also said it upgraded its national short-term rating to F1+(zaf) from F1(zaf).

The outlook is stable.

The affirmation reflects the district's robust operating balance of almost 230 million in South African rand or 74% of the budget size, amid low and declining debt, Fitch said.

The agency said it believes that the district's operating surplus could decline in the coming years but remain comfortably above 150 million in South African rand due to the hiring of staff to fill vacancy positions and the potential devolution of additional responsibilities.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.