JOHANNESBURG (Reuters) – South Africa is likely to miss revenue forecasts set out in a February budget while weakness in running of state-owned companies will be a risk to fiscal deficit targets, Fitch director Jan Friederich said on Thursday.
Friederich said business confidence had been dented by political infighting within the ruling African National Congress ahead of a party conference in December when a successor to President Jacob Zuma will be chosen.
“The ANC electoral conference in December 2017 will be key moment on the political scene,” Friederich said in a recorded video aired at a banking conference in Johannesburg.
“There is a high risk that the policy environment will remain volatile even after the ANC has elected new leaders.”
(Reporting by Mfuneko Toyana; Writing by Joe Brock; Editing by Tiisetso Motsoeneng)
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