Moody’s Investors Service changed on May 22, 2026 South Africa’s sovereign credit rating outlook to 'positive' from 'stable' and affirmed the debt grade at ‘Ba2, its first such improvement since 2007, though still two notches below investment grade. The agency said the change reflects improving fiscal performance and a sustained commitment to structural reforms, with expectations of rising primary surpluses and gradually improving debt-service costs that should help stabilize the debt burden. It added that stronger investment, supported by reforms, could lift growth to around 2% by 2028, although risks remain from external shocks and the electoral cycle. Moody’s also noted that the rating is still constrained by weak fiscal and economic fundamentals, low growth potential, and infrastructure challenges, partly offset by strong institutions and macroeconomic flexibility. Standard & Poor's credit rating for South Africa stands at BB with positive outlook.