Oct fuel increase could raise repo rate - economist
The sharp fuel price increases expected in October could tip the scales in favour of another repo rate hike.
That's according to economist Azar Jammine, who's been commenting on predictions that diesel could shoot up by around R2 a litre.
Petrol is expected to rise by over R1 per litre.
READ: Motorists set to dig even deeper for fuel in October
Jammine says, coupled with the increases in August, the prediction might cause the Reserve Bank to raise the repo rate further.
A rate announcement will be made on Thursday.
"Theoretically, one could argue that this could cause the Reserve Bank to raise the repo rate further, and such an outcome is still possible but one suspects that the Reserve Bank will see these latest increases as being temporary trend of inflation."
