Rand plunges as Moody’s warns on fiscal deficit

South Africa’s rand plunged against the dollar after Moody’s Investors Service said the pace of fiscal consolidation will be slower than government forecasts as weaker-than-expected economic growth and a rising public sector wage bill act as fiscal headwinds.

Read: Moody’s sees slower fiscal progress in SA 

The rand declined 3% to 14.6698 per dollar by 12:46 pm in Johannesburg, bringing its loss this month to 9.5%, the most after Turkey’s lira among 24 emerging-market currencies tracked by Bloomberg.