JOHANNESBURG - South African households are feeling the squeeze as rising fuel prices and interest rates put further pressure on already stretched budgets.
The average household food basket rose to R5,488.06 in September, increasing from both August and the same period last year.
The Pietermaritzburg Economic Justice and Dignity group is calling on government to consider reducing the fuel levy, warning that higher fuel costs could push up the price of goods and services and add to inflationary pressures.
''Unless government steps in with this price and does what it has done earlier this year, taking away the fuel levy, households are going to suffer immensely," the group's said Mervyn Abraham said.
"Inflation will increase; the likelihood of another interest rate hike. It might be easier for government to lose revenue from the fuel levy than have spiralling inflationary impact right through our economy."
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