Lambrechts said as a result of Standard &Poor (S&P) lowering its local currency rating on South Africa to BBB from BBB+, Santam's international counterparty credit and insurer financial strength rating was also lowered to BBB from BBB+. Santam has entered into an agreement with an international reinsurer in terms of which selected Santam business units will be able to use the reinsurer's S&P AA- credit rating. This will enable Santam to profitably grow its business flows from territories outside South Africa in situations where an international credit rating of A- or better is required. Looking ahead, Lambrechts said the group's focus remains on balancing profitable growth with a continued efficiency drive to optimise cost ratio – both in South Africa and emerging markets.