P.M. BRIEFING : South Africa Coping With Debt

Chris Stals, the South African Reserve Bank governor, said today the country’s economy is comfortably managing its foreign debt burden, but he ruled out any short-term adjustments in the financial rand system or other restrictive measures.

“South Africa is more relaxed about its foreign debt position than we have been for years,” Stals told the international Euromoney Conference in Cape Town.

“The balance of payments position is comfortable and should, at least for the time being, present no serious problems. We remain cautious, however, not to relax on the existing restrictive policies . . . too soon.”

Stals recalled the debt crisis sparked in 1985 when foreign banks refused to roll over outstanding loans as punishment for South Africa’s apartheid policies.