South Africa’s Rand Slumps to R18 a dollar After Moody’s Cut to Junk

South Africa’s rand plumbed a record low after the country lost its last investment-grade credit rating, and investors anticipated it may slide deeper into junk as the spread of the coronavirus decimates the economy.

The currency dropped as much as 2.5% to 18.0863 per dollar, breaching 18 versus the greenback for the first time.

It traded 1.8% down at 17.9392 by 6:58 a.m. in Johannesburg, still the worst performance among emerging-market currencies tracked by Bloomberg. Yields on 10-year government bonds climbed three basis points to 11.73%.

Moody’s Investors Service on Friday cut its assessment of South Africa’s debt to sub-investment grade, saying unreliable electricity supply, persistently weak business confidence and investment, and long-standing structural labor market rigidities continue to constrain economic growth.

While cutting South Africa’s rating to Ba1, one level below investment grade, Moody’s kept its outlook on the debt at negative, which it said “reflects downside risks to

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Entrepreneur wants to help South Africans get in the savings habit

Solvency, a new emerging financial services company, was founded by Mutoda Mahamba.

He is also the CEO of the company, which is 100% digital and underwritten by GENRIC Insurance Company. A former insurance executive, Mahamba worked at various South African insurance brands for over a decade.

Through his actuarial and product development work, he saw the opportunity to create a financial product that empowers consumers while still equipping them to manage the risk of negative life events, from burglaries to a car being written off.

According to Mahamba, Solvency will disrupt the status quo in the country’s insurance industry by offering an Insurance Savings Account (ISA) that is funded through car and household insurance premiums.

He said even during the launch phase of his product, the response from the market had been very positive and consumers especially like the savings opportunity offered.

“The Solvency solution offers crucial insurance cover combined

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Finance Calculators – Free Online Vehicle Financing and Loan Repayment Calculators for South Africans provides instant access to a number of online finance calculators to assist South African consumers with making educated decisions regarding financing cars, bonds, education, business, etc. On this page you
will find calculators and resources for:

Vehicle Financing, Bonds and Home Loans, Personal Loans, and Business Financing.

Remember these are just estimation tools! Please read the Disclaimer carefully.

The tools below will help you calculate how much you can realistically afford to pay towards a car finance instalment each
month before actually purchasing a vehicle.

Taking the time to calculate your own affordability and check rates from banks and financial institutions is absolutely essential to ensure that your vehicle finance is approved, everything runs smoothly, and you get the best vehicle finance available in South Africa. Most South African financial institutions, car dealers, and banks such as ABSA and Wesbank that provide vehicle finance services have their own handy

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