Greylisting: ANC says South Africans will feel the pinch

JOHANNESBURG - The ANC agrees with the views expressed by numerous economists: South Africans will feel the pinch of the country's greylisting at a later stage.

The rand has already dropped following the announcement.

The ANC's Mmamoloko Kubayi said the party is confident that the finance ministry's plan of action to steer South Africa off the greylist will succeed.

READ: SA's economic troubles | Greylisting will affect township economies

''Banks are likely to put more stringent majors, which might make it difficult for the majority of South Africans to not be able to access credit," she said.

"If investors turn not to believe the message, it means [the] economic growth we like to see might be impacted on."

The Financial Action Task Force greylisted the country for failing to comply with money-laundering standards.

READ: Greylisting expected to put massive dent in SA's GDP

The global anti-money laundering watchdog has identified South Africa's deficiencies, highlighting illicit financial flows.

Kubayi said the amended money-laundering laws will turn things around.

''Since last year, there were warnings that we're likely to be greylisted, we note the report, but most importantly is the action plan announced by the finance minister and the work being done," she said.