{"id":11336,"date":"2012-06-11T11:07:41","date_gmt":"2012-06-11T09:07:41","guid":{"rendered":"http:\/\/www.myza.co.za\/06\/update-1-s-africa-to-join-citi-world-bond-index-in-october\/"},"modified":"2012-06-11T11:07:41","modified_gmt":"2012-06-11T09:07:41","slug":"update-1-s-africa-to-join-citi-world-bond-index-in-october","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/update-1-s-africa-to-join-citi-world-bond-index-in-october\/","title":{"rendered":"UPDATE 1-S.Africa to join Citi world bond index in October"},"content":{"rendered":"

\t\t<\/span><\/p>\n

(Adds details, background)<\/span><\/p>\n

<\/span><\/p>\n

JOHANNESBURG, June 11<\/span> (Reuters) – South Africa will join
\nCiti’s influential World Government Bond Index (WGBI) from
\nOctober, the U.S. bank said on Monday, conferring an important
\nseal of approval on the continent’s biggest economy after recent
\ncredit outlook downgrades.<\/p>\n

<\/span><\/p>\n

Citi said 11 of South Africa’s government bonds worth $83
\nbillion had met the WGBI’s entry requirements for three straight
\nmonths, allowing it to accede to the index later this year.<\/p>\n

<\/span><\/p>\n

When South Africa’s possible inclusion was first announced
\nin April, bonds rallied sharply due to expectations of a flood
\nof cash from index-tracking funds that would need to load up on
\nSouth Africa debt.<\/p>\n

<\/span><\/p>\n

At the time, estimations of the inflows ranged from $5
\nbillion to $9 billion. Confirmation of South Africa’s accession
\nhad been widely expected.<\/p>\n

<\/span><\/p>\n

“There are 11 South African government bonds eligible for
\nthe WGBI. The market value of these bonds is $83.0 billion,
\nwhich represents a pro forma market weight of 0.41 percent in
\nthe WGBI,” Citi said in a statement.<\/p>\n

<\/span><\/p>\n

The WGBI currently has 22 countries, with Malaysia, Poland
\nand Mexico the only emerging markets to be included. South
\nAfrica will be the first African sovereign represented.<\/p>\n

<\/span><\/p>\n

Pretoria applauded Citi’s announcement in April as an
\nendorsement of its long-term spending plans in the face of
\nconcerns from rating agencies about its ability to keep its
\nbudget deficit in check.<\/p>\n

<\/span><\/p>\n

The government is forecasting a deficit of 4.6 percent for
\nthis year, but says it should be able to bring that down to
\nclose to 3 percent by 2014 as economic growth continues to pick
\nup from a 2009 recession.\t<\/p>\n

(Reporting by Stella Mapenzauswa; Editing by Ed Cropley)<\/p>\n

<\/span><\/p>\n

\n

\t\t\u00a9 Thomson Reuters 2012 All rights reserved<\/p>\n","protected":false},"excerpt":{"rendered":"

(Adds details, background) JOHANNESBURG, June 11 (Reuters) – South Africa will join Citi’s influential World Government Bond Index (WGBI) from October, the U.S. bank said on Monday, conferring an important seal of approval on the continent’s biggest economy after recent credit outlook downgrades. Citi said 11 of South Africa’s government bonds worth $83 billion had […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-11336","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11336","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=11336"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11336\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=11336"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=11336"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=11336"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}