Nedbank’s Brown: Downgrade Would Be Negative for S Africa

What is the expected impact on the country if a downgrade occurs?

• Lower economic growth and weaker asset values

• Increased economic growth

• Improved fiscal budgets

• Strengthening of currency bonds

How did the South African banking system fare during the global financial crisis?

• It remained stable without needing bailouts

• It merged with international banks

• It collapsed entirely

• It required significant bailouts

What is the expected loan growth in South Africa relative to nominal GDP?

• Around 10%

• Around 15%

• Around 7%

• Around 3%

What is a potential consequence of foreign investment outflows in Africa?

• Immediate economic recovery

• Increased opportunities for new investors

• Stable currency values

• Easier financing for infrastructure

What strategic focus does Nedbank have in Africa?

• Focusing solely on South Africa

• Exiting the African market

• Strengthening presence in East Africa

• Expanding in West Africa