SA dollar bonds drop after medium-term budget flags wider deficits

South Africa’s dollar-denominated sovereign bonds came under pressure on Wednesday after Finance Minister Tito Mboweni said the budget deficit will rise to a near two-decade high and gross debt was set to soar.

Longer-dated issues bore the brunt of the losses with the 2044 bond falling 1.2 cents in the dollar to trade at 96.355 cents, according to Tradeweb data.