Africa-Press – South-Africa. South African motorists are set for some relief in September, with the Department of Mineral and Petroleum Resources announcing the official cuts to petrol and diesel prices for the month.
The declines in the price of petrol and diesel are a result of a stronger rand and weaker international oil prices over the past month.
While the expected reduction in the price of petrol has shrunk, diesel is still set for a significant reduction as supply constraints ease.
The announced price adjustments, which take effect on Wednesday, 3 September 2025, are as follows:
Petrol 93 – decrease of 4 cents per litre
Petrol 95 – decrease of 4 cents per litre
Diesel 0.05% (wholesale) – decrease of 56 cents per litre
Diesel 0.005% (wholesale) – decrease of 57 cents per litre
The declines are due to both weaker international oil prices and a stronger rand, with the currency having its strongest August on record since 2005.
This is despite it weakening in the past few days as investors wait for economic data from South Africa, which is expected to show an uptick in performance.
Investors are increasingly turning to South African assets as the coalition government implements economic reforms, the fiscal outlook brightens, and the Reserve Bank keeps inflation low.
Strong prices for the precious metals and other raw materials that make up the bulk of South Africa’s exports have also bolstered the rand and the appeal of the country’s mining companies.
While other commodity prices have had a strong 2025, oil has been on the back foot, with increasing supply from key countries and an expected slowdown in global growth due to tariffs on trade.
The Organisation for Petroleum Exporting Countries (OPEC) has begun unwinding its production caps on several member countries, unleashing fresh supply into the market.
Oil is set for a monthly loss, with trading dominated by concerns about a looming glut and geopolitical tensions.
Oil lost ground in August due to worries that global supplies will run ahead of demand in the coming quarters, boosting stockpiles.
Investors are also focused on Ukraine and potential shifts in crude flows from Russia. If it is allowed to resupply global markets, the price of oil could be pushed down further.
Oil’s decline in August is the first monthly drop since April, when most commodities were hurt by a sharp escalation in Trump’s trade war and concerns that energy consumption would suffer.
The worries about a surplus, with the International Energy Agency forecasting a record glut, follow a campaign by OPEC to restore idled capacity and reclaim market share.
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