- Eskom has received a significant boost after S&P Global Ratings upgraded the state utility’s foreign and local currency long-term credit ratings from B to B+, with a stable outlook.
- The agency also raised the ratings of Eskom’s senior secured and unsecured debt, while government-guaranteed foreign currency debt was upgraded from BB- to BB+. The national scale rating improved from zaBBB+/zaA-2 to zaA/zaA-1.
According to S&P, the upgrades reflect the tangible progress delivered through Eskom’s Turnaround Plan, which has stabilised electricity generation, strengthened governance and improved the utility’s financial position.
Operational performance has shown a clear upward trend. Eskom supplied electricity 97.9% of the time in the current financial year, up from 96% in FY2025, marking a notable improvement in system reliability. Financially, the company also recorded its first profit in eight years in FY2025.
Eskom Group Chief Executive Dan Marokane said the results mark a decisive shift from crisis to stability.
“The Turnaround Plan has been pivotal in restoring Eskom’s operational and financial stability. We have moved decisively from a generation crisis to a phase of reliability and disciplined management. Our focus remains on providing affordable, secure electricity for South Africa while driving the transition to lower-carbon energy,” he said.
The utility noted that it will continue advancing its generation recovery programmes, strengthening governance, combating crime and corruption, and preparing the organisation for long-term sustainability and energy security. These efforts it says are essential for supporting economic growth in South Africa and the wider sub-Saharan region.
Author: Bryan Groenendaal
