The outlook for non-financial firms both in Turkey and South Africa remains negative for the coming 12 to 18 months, Moody’s Investors Service said Dec. 13 in its annual report titled “Non-financial corporates – Middle East, Turkey and South Africa: 2019 Outlook.”

“While the outlooks for companies in Turkey, South Africa and Gulf Cooperation Countries remain unchanged versus last year, the diverging regional trends will continue into 2019,” said Rehan Akbar, Moody’s vice president.

Moody’s cited high foreign exchange volatility, tighter financial conditions, and the limited clarity on policy direction as the key drivers of the negative outlooks for Turkish companies.

More: Negative outlook persists for Turkish companies: Moody’s