(Corrects to make clear report is authored by Fitch’s BMI research unit, not Fitch Ratings.)
JOHANNESBURG, Sept 28 (Reuters) - South Africa’s economic growth will be significantly hampered by increasing political uncertainty in the run-up to the ruling African National Congress’s leadership contest in December, Fitch’s BMI research unit said on Thursday.
In a report, BMI said a turn to more “radical rhetoric and policy positions by the traditionalist wing of the party” would weigh on investor confidence.
Fitch downgraded South Africa’s foreign-currency rating to speculative grade, or junk, following an abrupt cabinet reshuffle in March. (Reporting by Mfuneko Toyana; Editing by Tiisetso Motsoeneng)