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South Africa set to decrease petrol, increase diesel prices

South Africa’s government says the pump price of petrol will decrease by up to 1.02 rand a liter and the diesel price will rise by up to 15 cents a liter from October 5.

The country’s fuel prices are adjusted monthly due to factors, including global oil prices and the rand exchange rate.

According to Reuters,The Ukraine war and its knock-on effects sent oil prices soaring earlier this year, driving South African fuel prices higher and sending inflation to a 13-year peak of 7.8% in July.

But global oil prices have eased in recent months, helping domestic inflation to fall slightly to 7.6% in August.

Despite that decline, South Africa’s central bank delivered another 75 basis point interest rate hike in September as it tries to bring inflation back within its 3%-6% target range, citing oil prices among potential risks.

Writing by Fany Olumoye; Editing by Tony Okerafor