More pain at the pump, Marcus warns
The Sarb governor says a weak rand means petrol could increase by around 30 cents next month.
JOHANNESBURG - South Africans can expect a steep increase in the February petrol price, Reserve Bank Governor Gill Marcus warned on Wednesday.
Speaking at the announcement of the Monetary Policy Committee (MPC) decision on interest rates this afternoon, she said motorists can expect a hike "in excess of 30 cents per litre".
The governor warned that the struggling rand meant yet another petrol price rise should be expected.
"In December and January, the domestic petrol price increased by a cumulative 55 cent per litre. A further significant increase, in excess of 30 cents per litre, can be expected in February."
Marcus said this would also increase pressure on the inflation rate going forward, especially if the current patterns continue.
During the same conference, she announced the repo rate would increase by 50 basis points, citing inflation and deficits as the primary driver.