REPUBLIC OF SOUTH AFRICA - Updates to the Republic of South Africa's credit ratings by Moody's Ratings and Fitch Ratings

Updates to the Republic of South Africa's credit ratings by Moody's Ratings and Fitch Ratings

REPUBLIC OF SOUTH AFRICA                                  REPUBLIC OF SOUTH AFRICA
Department of National Treasury                           through
Issuer code: BIRSA                                        The RSA Domestic Sukuk Trustee (RF) Proprietary
("National Treasury")                                     Limited (as trustee of The RSA Domestic Sukuk Trust)
                                                          Incorporated in the Republic of South Africa
                                                          Registration number: 2023/671880/07
                                                          Issuer code: RSDI
                                                          ("Trustee")

UPDATES TO THE REPUBLIC OF SOUTH AFRICA'S CREDIT RATINGS BY MOODY'S RATINGS AND FITCH RATINGS


The National Treasury hereby advises of the following updates to the Republic of South Africa's ("RSA") credit
ratings by Moody's Investors Service Incorporated ("Moody's Ratings") and Fitch Ratings (Hong Kong) Limited
("Fitch Ratings").

Moody's Ratings revises RSA's outlook to positive from stable, affirms Ba2 ratings

On 22 May 2026, Moody's Ratings advised that it had revised RSA's sovereign credit rating outlook to positive
from stable and affirmed the domestic and foreign-currency long-term ratings at 'Ba2'.

The revision of the outlook to positive represents Moody's Ratings' first positive outlook on RSA's sovereign credit
rating since 2007 and makes RSA the only G20 sovereign currently assigned a positive outlook by Moody's
Ratings. The action also comes against a backdrop of generally negative sovereign rating momentum globally,
with more than 23 sovereign credit ratings having been negatively affected since the onset of the current Middle
East conflict.

According to Moody's Ratings, the positive outlook reflects RSA's gradually strengthening fiscal performance and
sustained commitment to structural reforms, with prospects of increasingly tangible results. Moody's Ratings
expects stronger investment, supported by ongoing reforms, to raise real Gross Domestic Product ("GDP")
growth gradually to around 2% by 2028 and underpin fiscal improvements, and the primary fiscal surplus to rise
to around 2% in 2028, supporting a gradual decline in the debt to GDP ratio.

The affirmation of the Ba2 ratings reflects RSA's still relatively weak fiscal and economic fundamentals,
notwithstanding the early progress made through fiscal consolidation and structural reforms. Moody's Ratings
also noted that the sovereign ratings continue to be supported by RSA's flexible exchange rate, low foreign-
currency external debt and robust institutional framework. RSA's local and foreign currency country ceilings
remain unchanged at Baa1 and Baa2, respectively.

The Moody's Ratings announcement in regard to RSA's credit rating is available from the following website:
https://investor.treasury.gov.za/South%20Africa%E2%80%99s%20Sovereign%20Credit%20Ratings/.

Fitch Ratings upgrades RSA to 'BB'; Outlook Stable

On 5 June 2026, Fitch Ratings advised that it had upgraded the RSAs long-term foreign and local currency credit
ratings from 'BB-' to 'BB', with the outlook maintained as stable.
Fitch Ratings noted that the outcome means that RSA becomes only the second G20 country to be upgraded by
Fitch Ratings this year. This is despite a challenging backdrop with five investment-grade sovereigns having
received negative rating actions by Fitch Ratings since the current conflict in the Middle East began in late
February 2026.

According to Fitch Ratings, the upgrade reflects RSA's record of prudent fiscal management and its progress on
fiscal consolidation, despite weak economic growth and domestic and external shocks. This, together with GDP
revisions, leaves government debt-to-GDP ratio well below levels anticipated at the time of the rating downgrade
to 'BB-' in 2020, and is the first Fitch Rating's upgrade on RSA in almost 21 years.

The Fitch announcement in regard to RSA's credit rating is available from the following website:
https://investor.treasury.gov.za/South%20Africa%E2%80%99s%20Sovereign%20Credit%20Ratings/.



For further enquiries contact:

Derrick Nkambule
Acting Director: Debt Issuance and Management
012 315 5753 / +27 78 929 3401

Phillemon Ledwaba
TMF Corporate Services (South Africa) Proprietary Limited (representative of the Trustee)
011 666 0760 / +27 76 690 4003

Candice Risi
TMF Corporate Services (South Africa) Proprietary Limited (representative of the Trustee)
+27 66 444 0611


Pretoria
3 July 2026

Debt Sponsor
One Capital

Date: 06-07-2026 07:05:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.