rdgima . Nevertheleos, South Africa hno beeu able to extend itoelf a financial lifeliue by exploiting loopholec in oanctiono legislation. Rescheduling and the converoion of short- and medium-term debt into long-term loans may not be considered aa “new loane” but they function 80 such. Luenr. moreover; continue to be available for South African companieo registered - abroad. Thie loophole ia likely to be increaoingly exploited by South Africa to improve access to foreign borrowings. 5s. The excluaioo of trade credit8 from the 1985 moratorium and most sanctions legielation hae made thie virtually the only source of new foreigo financing for South Africa and of crucial importance to ito financial survival. The availability of trade creditc, primarily suppliers’ credits, for financing exports to South Africa have increased after mid-1986. Theee include official trade credits, guarantee8 and ineurance, ae well a8 off-balance-sheet support such as gold swaps and gold loano provided by Swieo banke. A recent report of the Centre againet Ap.g&h& indicates that some 30 per cent of South Africa’s trade ie currently backed by-foreign Governmente through their official export credit agenciee , of which the biggeot inourero are the United Kingdom and Japan. 59. Trade figure8 for the period 1986-1988 show that there hae been a marked increaee in exports to South Africa from the wealthiest countriee: 72 per cent increaee for the Federal Republic of Germany (qualified by the rise in the DM M the dollar which, in United States currency, overvalues the amount of exports paid for in merke), 50 per cent for Japao (qualified in the came way), 54 per cent for Britain, 41 per cent for the United State8 and 44 per cent for France. Payment for these export6 would only have been possible if South Africa’s major trading partners had provided guaranteed exports credits. 
**Analysis**
The text discusses the financial situation of South Africa and its ability to access foreign borrowings through loopholes in sanction legislation and trade credits. The focus is on the economic aspect of South Africa's trade relationships with other countries, highlighting the importance of trade credits and export credits in financing its exports.

**Category**
International trade