Mid-month fuel price data released by the Central Energy Fund (CEF) forecasts a sharp jump in fuel prices at the end of November, reports the Automobile Association.
The AA says that motorists cannot expect much respite from a weakening domestic economy.
The Association said: “The Rand is testing one-year lows against the US dollar. In addition, there have been heavy increases in international oil prices.”
Petrol is set to rise by 74-cents per litre and diesel 63 cents. The AA cautions that the picture may worsen before the end of the month.
The AA comments: “We cannot ignore signs that South Africa may face a further round of downgrades by ratings agencies, possibly even before December.
“Concerns over government’s fiscal discipline are likely to continue weighing heavily on the Rand, and if these factors combine with continued oil strength, South Africans will face heavy fuel price hikes for the remainder of 2017 and into early 2018.”[Source: Wheels24]