The South African Reserve Bank (Sarb) has announced that the repo rate will increase by 25 basis points to 6.75% per annum.
The repo rate is the rate at which the commercial banks borrow money from the central bank. It is used by monetary authorities to control inflation.
Sarb Governor Lesetja Kganyago had previously suggested the possibility of rising inflation due to increased fuel prices.
The repo rate has been at 6.5% since March this year when it was cut by 25 basis points.
South Africans have been feeling the pinch this year with increasing fuel prices and a rising cost of living.
This article first appeared on CapeTalk : Repo rate rises to 6.75%