CAPE TOWN, April 16 (Xinhua) -- The South African government on Monday pledged to provide the necessary policy certainty to boost investor confidence in the country.
To improve South Africa's investment and economic prospects, the government continues to work diligently on practical steps to provide the necessary policy certainty such as the finalization of mining legislation, the Finance Ministry said.
This came after the Japanese-based rating agency Rating and Investment Information, Inc (R&I) confirmed South Africa's at an investment grade credit rating.
R&I affirmed South Africa's long-term foreign currency debt rating at "BBB" and local currency debt rating at "BBB+" and also revised the country's outlook to stable from negative.
The agency said its rating was based on the following drivers -- the improved growth performance and prospects; the announced fiscal adjustment plans in the 2018 budget that would stabilize the debt burden; and changes in the administration that are expected to help eradicate policy uncertainty.
"The government fully recognizes R&I's assessment of the challenges and opportunities the country faces in the immediate to long-term," a Ministry of Finance statement said.
The ministry reiterated the commitment made by President Cyril Ramaphosa to fast-track the implementation and finalization of key sectoral structural reforms as well as reforms of state-owned companies.
Cooperation among the government, business, labor and civil society is also yielding necessary interventions to positioning South Africa as an attractive investment destination while also creating an enabling policy environment for inclusive economic growth, the ministry said.
It said the rating action by R&I demonstrates that South Africans working together can achieve remarkable outcomes.
Last year, two international rating agencies, Standard & Poor's and Fitch, downgraded South Africa's rating to junk status.
Last month, another international rating agency, Moody's, kept South Africa's sovereign rating unchanged at investment grade while upgrading the outlook to stable.