CITY OF JOHANNESBURG METROPOLITAN MUNICIPALITY - Moody's rating recent developments - BIJHB

Moody's rating recent developments - BIJHB

CITY OF JOHANNESBURG METROPOLITAN MUNICIPALITY
(a municipality as described in section 2 of the Local Government Municipal Systems Act, 2000, duly
established in terms of Notice No. 6766, promulgated in the Provincial Gazette Extraordinary of 1
October 2000 in terms of section 12(1) read with section 14(2) of the Local Government : Municipal
Structures Act, 1998, as amended)
Issuer Bond Code: BIJHB
Bond Code: COJ05
ISIN No: ZAG000054339
Bond Code: COJ08
ISIN No: ZAG000137571
Bond Code: COJG01
ISIN No: ZAG000116708


GLOBAL CREDIT RATING CO. RATING RECENT DEVELOPMENTS

Global Credit Ratings Co. (GCR Ratings) has on the 30th of July 2021 affirmed the City of
Johannesburg’s National Scale Ratings of AA-(ZA), and A1+(ZA) in the Long Term and Short Term
respectively, with a Stable Outlook.

Affirmations:
    -   Long Term Issuer National Scale Rating, Affirmed, AA-(ZA)
    -   Short Term Issuer National Scale rating, Affirmed, A1+(ZA)
Outlook:
    -   Affirmed, Stable

GCR Ratings has cited that the the ratings affirmation for City of Johannesburg Metropolitan
Municipality (“CoJ””the Metro”) balance its position as the economic center of South Arica and well
diversified sources of internally generated revenues (IGR), against high gearing and a moderate liquidity
profile, exacerbated by the COVID-19 related disruptions.

GCR Ratings has also noted that COJ’s operating performance has remained fairly stable, and the
Metro has also maintained a robust cash balance despite challenges presented by the COVID-19
disruptions.

They have also alluded that the Stable Outlook reflects GCR Rating’s expectation that, despite ongoing
challenges arising from COVID-19 related disruptions, the metro has sufficiently strong and diversified
income streams to maintain its financial profile, as well as adequate liquidity sources.

Note holders are referred to GCR’s press release for any further information, available at
https://gcrratings.com/announcements/gcr-affirms-city-of-johannesburg-metropolitan-municipalitys-
long-term-national-scale-rating-of-aa-za-and-maintains-its-stable-outlook/

02 August 2021

Debt Sponsor
Absa Bank Limited (acting through its Corporate and Investment Bank division)

Date: 02-08-2021 09:40:00
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