South Africa's credit rating has been downgraded to one level above junk status.
Former Reserve Bank governor, Tito Mboweni on Wednesday said that the country needs to implement a defence strategy to avoid the imminent threat.
Mboweni explained the practical measures that must be put in place to restore and maintain credibility with global ratings agencies.
Listen to the full conversation from The Midday Report with Stephen Grootes:
1. Keep a tight rein on the fiscus: Mboweni said South Africa must maintain its fiscal stance and watch GDP ratios and other market indices to avoid further deterioration.
2. Work smarter on policies: he said we must show greater co-ordination in our economic policy.
3. Shape up our parastatals: Mboweni recomends South Africa display greater ability to successfully run state-owned companies, with a respect for corporate governance.
4. Show repsect to regulators: Chapter nine institutions and other independent boides need to be given more respect to fulfill their mandates.
5. Get infrastructure going: He advised that infrastructure projects need to be developed for the economy to function effectively.