Moody's downgrades Botswana to Baa2 from Baa1, changes outlook to stable
Moody's says the downgrade reflects expected deterioration in Botswana's public finances, with diamond-related revenue likely to fall and debt to rise.
Sept 25 — Moody's Ratings downgraded Botswana's ratings to Baa2 from Baa1 and changed the outlook to stable. The agency said the downgrade reflects an expected deterioration in Botswana's public finances, with declining diamond-related revenue likely to add to debt even as the government continues its policy response. Moody's added that Botswana's financial buffers are largely exhausted and that large fiscal deficits are expected to persist. It also said reliance on Sacu transfers leaves fiscal outcomes exposed to external developments largely outside the Botswana government's control.