• The credit rating agency Moody`s upgraded its outlook on South Africa from `negative` (which meant the next step could potentially be another downgrade) to `stable`.
• While government bonds are still rated as `junk`, Moody`s says South Africa`s fiscal position has `markedly recovered`.
• It praised the state`s ability to keep growth in the public sector wage bill to below inflation.
The credit rating agency Moody`s upgraded its outlook on South Africa from “negative” to “stable”.
Moody’s previously rated South Africa at Ba2 (two rungs below investment grade), with a negative outlook â€` which means the next step could potentially be another downgrade.
It is keeping South Africa at Ba2, but changed its outlook to “stable”, saying that South Africa`s fiscal position has “markedly recovered” from the pandemic thanks to high commodity prices, which boosted tax revenue, and government`s fiscal consolidation measures, including that it was able to keep growth in the public sector wage bill to 1.6%, well below inflation.
“Indeed, over the last two fiscal years, the government has shown it was able to re-prioritise its spending while staying committed to fiscal consolidation, which Moody`s expects will remain the case going forwards.”
In 2020, Moody’s stripped South Africa of its investment grade rating, downgrading government bonds to `junk`. A `junk` rating means there`s a bigger chance that the government won’t be able to pay back its debts.
`This marks an improvement compared to Moody`s previous projections of a long period of ever-rising debt-to-GDP.`
Government has managed to cut its primary deficit (the difference between its income and spending, excluding interest payments) to 1.3% of GDP over the past year, compared to Moody’s forecast of 3.4%.
Moody’s also expects that tax compliance is likely to improve gradually as the South African Revenue Agency (SARS) rebuilds some of its institutional capacity, and highlighted South Africa`s “sound” financial sector, as well as strong exports thanks to commodity prices.
In addition, it

noted that the Reserve Bank`s foreign-exchange reserves fully covered annual external debt payments. “The central bank has a long-standing policy of refraining from intervening to prevent depreciation, thereby preserving buffers.”
But it warned that the state-owned enterprises (SOEs) remain weak and poses risks to government’s debt burden. In addition, a “malfunctioning” labour market could fuel “social risk” and Moody’s is also concerned about the impact of load shedding on the economy.
“Moody`s expects these constraints to remain and forecasts GDP growth at only about 1.5% in the medium term.
“Very weak SOEs across a number of sectors, including electricity and transport, both contribute to weak growth and are affected by it, without any prospects of significant improvements in the foreseeable future.”
Still, it said that South Africa’s ratings could be upgraded if it showed significant progress towards alleviating these structural constraints on growth. `Firm signs that the rehabilitation of the energy sector is underway would also be a key marker, pointing to higher growth and lower contingent liability risks from the SOEs sector.`
Ratings could be downgraded if growth prospects and government’s fiscal strength deteriorated.
In a statement, National Treasury welcomed Moody’s upgrade to South Africa’s outlook.
It said that government is using a part of its additional tax income (a windfall due to the high commodity prices) to pay off more debt, while most of it will go towards urgent social needs, including job creation through the presidential employment initiative, and supporting the public health sector.
“Faster implementation of economic and SOC [state-owned corporation] reforms, accompanied by fiscal consolidation to provide a stable foundation for growth, will ease investor concerns, and support a faster recovery and higher levels of economic growth,” Treasury said.
www.samigration.com V.4057

One of the highlighted topics: Critical Skills Visa.

- Key Insight: Is your profession on the Critical Skills List? This visa is your fast track to working in South Afr...
- This matter relates to critical skills visa and its broader implications.
- Individuals are advised to seek professional guidance.

Is your profession on the Critical Skills List? This visa is your fast trac V.6139
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One of the applicants, Phindile Mazibuko, became a victim of identity theft in 2012 when fraudulent transactions occurred, using her personal details.

-The Pretoria High Court found that the department of home affairs had violated constitutional rights without due process.
-Only half of Lawyers for Human Rights` test group has been unblocked, while 385 000 identities remain blocked nationwide.
-LHR appeals extension, urges affected people to seek help now.

Lawyers for Human Rights (LHR) are intensifying pressure on the department of home affairs over the national ID-blocking crisis, accusing the state of acting too slowly to unblock qualifying individuals despite a landmark court ruling.

In January last year, the Pretoria High Court found that the department`s practice of blocking IDs without due process was unlawful and unconstitutional. One of the applicants, Phindile Mazibuko, a Swati citizen and South African permanent resident since 1998, fell victim to identity theft in 2012 when fraudsters used her personal details.

 V.6133
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The Border Management Authority (BMA) has doubled its staff at Airports in South Africa , including immigration officers.

What does this mean for travelers? V.6128
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The Border Management Authority (BMA) has doubled its staff at Airports in South Africa , including immigration officers.

What does this mean for travelers? V.6129
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A Washington state mother and her 6-year-old son have been released after spending more than three weeks in US immigration detention due to a brief trip to Canada and a small paperwork mistake, her attorney told CNN on Saturday.

Sarah Shaw, a New Zealand citizen who has lived legally in the US since she arrived in 2021, was detained at the Blaine, Washington, Customs and Border Protection checkpoint when returning home after dropping her two oldest children off at the Vancouver airport for a flight to visit their grandparents in New Zealand. Shaw, 33, chose the flight out of Vancouver because it was direct and she didn`t want her children to have to navigate a layover alone, her attorney Minda Thorward, told CNN.

 V.6130
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On 22 July 2025, the Gauteng High Court dismissed Sitrusrand Boerdery`s review of the Department of Employment and Labour`s refusal to issue a Working Conditions and Salary Benchmarking Certificate, an essential precondition for obtaining corporate visas under the Immigration Act.

Acting Judge Kekana AJ held that the Department`s decision was lawful, rational and procedurally fair. This judgment illustrates how businesses can - and must - structure their corporate visa applications to meet statutory requirements, and how legal practitioners should prepare robust review challenges when administrative authorities decline to recommend foreign-work permits.

 V.6131
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The United States could forfeit an estimated 9.4 billion dollars in visitor spending over the next three years following the introduction of a new 250 dollars `visa integrity fee,` according to industry groups, who warn the policy risks undermining tourism and costing thousands of jobs.
The United States’ decision to introduce a 250 dollars `visa integrity fee` on international visitors has triggered sharp criticism from the global tourism industry, with officials warning that the measure could deter millions of travellers and cost the U.S. economy billions.
The 250dollar `visa integrity fee,` part of the One Big Beautiful Bill Act signed on July 4, 2025, will take effect later this year. According to immigration law firm Envoy Global, it applies to all nonimmigrant visa holders which include students, tourists, temporary workers, and business visitors particularly from African countries. V.6132
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The Border Management Authority (BMA) has doubled its staff at Airports in South Africa , including immigration officers.

What does this mean for travelers? V.6127
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1. Right to Legal Representation•You have the right to consult with a legal representative.•Contact an immigration practitioner, legal aid clinic, or attorney urgently.•Do not sign any documents without understanding them fully. 2. Section 34 of the Immigration Act•You must be brought to court with 48 hours to confirm arrest but you can remain locked up very long as courts figure out what to do with you •If you`re found to be illegally in South Africa, you may be detained for up to 30 days (extendable by a magistrate) pending deportation.•BUT this cannot happen arbitrarily. You must be informed of your rights, and Home Affairs must follow due process.- becomes a nightmare , you could lose your job , business , place to stay V.6121
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Driving for Bolt, Uber, Mr D, or Checkers Sixty60?If you`re undocumented, you`re risking more than just your income.The Risks if You`re Not Legal: - Vehicle impoundment - Heavy fines - Arrest & deportation - Permanent bans from working in SA V.6122
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