The anisotropic magnetic properties of the antiferromagnetic compound CePd$_2$Ge$_2$, crystallizing in the tetragonal crystal structure have been investigated in detail on a single crystal grown by Czochralski method. From the electrical transport, magnetization and heat capacity data, the N{e}el temperature is confirmed to be 5.1 K. Anisotropic behaviour of magnetization and resistivity is observed along the two principal crystallographic directions viz., [100] and [001]. The isothermal magnetization measured in the magnetically ordered state at 2 K exhibits a spin re-orientation at 13.5 T for field applied along [100] direction, whereas the magnetization was linear along the [001] direction attaining a value of 0.94 $mu_{rm B}$/Ce at 14 T. The reduced value of the magnetization is attributed to the crystalline electric field (CEF) effects. A sharp jump in the specific heat at the magnetic ordering temperature is observed. After subtracting the phononic contribution, the jump in the heat capacity amounts to 12.5 J/K mol which is the expected value for a spin ${1}{2}$ system. From the CEF analysis of the magnetization data the excited crystal field split energy levels were estimated to be at 120 K and 230 K respectively, which quantitatively explain the observed Schottky anomaly in the heat capacity. A magnetic phase diagram has been constructed based on the field dependence of magnetic susceptibility and the heat capacity data.
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