Moody's cuts Capitec’s financial strength rating

Johannesburg - Ratings agency Moody's cut the financial strength rating of South Africa's Capitec Bank by one notch to D on Friday, citing concerns about its exposure to risky consumer lending.

Moody's said in a statement it had cut Capitec's financial strength rating to D from D+, adding that all of the bank's ratings would be put on review for further downgrades.

Capitec Bank branch. Photo: Matthew Jordaan. Credit: INDEPENDENT MEDIA

Concerns about consumer lending in Africa's most developed economy have increased since the central bank launched a R17 billion rescue of African Bank Investments last week. - Reuters