The ratings agency has affirmed the government-guaranteed local currency senior unsecured debt ratings at ‘BB+’ and also placed the National long-term rating of ‘AAA’ and National short-term rating of ‘F1+’ on RWN. 

Eskom Acting Chief Financial Officer Calib Cassim, noted in a statement released yesterday the decision and said this reflects the need for the ratings agency to assess Eskom’s links to the government given weakening liquidity and funding access. 

Eskom is confident that the liquidity challenges it faces will be resolved and the funding initiatives planned until the end of the financial year will alleviate the pressure. 

Interim Group Chief Executive, Sean Maritz, added that the support from the Minister to appoint the remaining board of directors will demonstrate commitment to enhance Eskom’s corporate governance structure and the remained focused on improving corporate governance to address liquidity challenges in the near term to avert a downgrade.

OFM News