South Africans will be pleased to know that they might be able to stretch their budget for January a little bit further as the news hits that petrol prices will be dropping from Wednesday, 5 January 2022.
Petrol price decreases are as follow:
95 Unleaded will be decreasing by 68 cents per litre.
93 Unleaded will be decreasing by 71 cents per litre.
And Diesel will be decreasing by 67 cents per litre.
South Africa buys oil in dollars
All local fuel prices are determined by international oil prices and also by the dollar-rand value. This is because South African buys oil in dollars.
And while the price of Brent crude rose steadily over the past month, a decline in local oil import prices has been seen. And this has subsequently counteracted the weakening rand.
The drop in petrol prices – no matter how big or little – will definitely be welcomed with open arms as many South Africans are returning home after the holidays.