South Africa Considers Extending Fuel-Tax Cut Amid Oil Shock

South Africa has the fiscal capacity to extend a fuel-tax cut by two months to mitigate the impact of an oil shock caused by the Iran war, according to Citigroup Inc. Bloomberg posted on X, highlighting the potential economic measures the country might take to support consumers facing rising fuel prices. The extension aims to provide temporary relief to South African consumers as global oil markets react to geopolitical tensions. Citigroup's analysis suggests that the government has sufficient fiscal space to implement this measure without significantly affecting its budgetary commitments. The decision comes as part of broader efforts to stabilize the economy and protect consumers from volatile energy costs.