Fin24 reports that the Automobile Association (AA) said on Monday that South African consumers could brace for yet another hefty fuel price hike in March.
The association expects month-end increases of up to 56 cents a litre for petrol, 47 cents for diesel, and 41 cents for illuminating paraffin. This will be due to bullish international oil prices. "Oil prices advanced at a leisurely pace during January, but the increase has quickened since then. International product prices shot up by around eight percent in the first two weeks of February," the AA indicated. On the plus side, the rand/US dollar exchange rate has worked in SA’s favour, although this has been far from enough to offset the oil price. "If oil continues on this trajectory, South Africa's fuel prices might edge back into record territory in the medium term. Fuel users also remain vulnerable to economic shocks which might weaken the rand," the AA warned.
- Read the full original of the report in the above regard by Carin Smith at News24
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