Oil price hike amid Russia-Ukraine war may hurt India

New Delhi, 28/2: Rising crude oil prices and supply disruptions following Russia’s invasion of Ukraine could further sap an Indian economy already slowed by Covid-19, posing risks to household spending and private investments, economists said.

India, which meets nearly 80 per cent of its oil needs through imports, could be hit by a widening trade deficit, weakening rupee and higher inflation after Brent crude prices shot above $105 a barrel last week, the economists said.


The “surge in oil prices as a result of the (Ukraine) crisis poses considerable risks to the Indian economy,” Aditi Gupta, an economist at Bank of Baroda, said in a note on Friday.


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