PRETORIA (Reuters) – The deputy governor of South Africa’s central bank said on Thursday the downgrade of the country’s credit rating to junk status by S&P was a “serious set back”, and that the bank was ready to act if the political events caused the favourable rates outlook to reverse.

“It is a serious setback for the country. We will now need to redouble our efforts in providing assurance and communicating continued commitment to sound macro economic policies,” Deputy Governor Daniel Mminele said in a speech at a business cocktail.

(Reporting by Mfuneko Toyana; Editing by James Macharia)