Oil Drops Below $100 on Iran Peace Hopes, but Fuel Prices Rise Again
Global crude prices slipped more than 4%, with Brent dropping to $99.22 a barrel and WTI to $92.22, as markets priced in hopes of an Iran‑U.S. peace deal that could reopen the Strait of Hormuz. Despite the dip, Indian oil marketers raised retail petrol and diesel rates by over ₹2 per litre—the fourth hike in two weeks—pushing Delhi petrol above ₹100 per litre. The cumulative increase now totals roughly ₹7.5 per litre, equivalent to about $0.09 per gallon. Higher fuel costs arrive amid India’s 42‑month high wholesale inflation and rising consumer price pressures.
RBI Feels Rupee May Be Undervalued Now
Reserve Bank of India Governor Sanjay Malhotra told Mint that the rupee is not overvalued and may actually be undervalued after its recent slide toward the 100‑per‑dollar psychological level. He emphasized that the RBI does not set a specific exchange‑rate...
Iran War to Slow Down India’s FY27 Economic Growth: Rating Agencies
Two rating agencies have lowered India’s FY27 growth outlook as the West Asia war drives crude oil to $95‑110 a barrel, stoking inflation and squeezing monetary policy. Icra now sees GDP expanding 6.2%, down from its earlier 6.5% estimate. India...
India Notifies Standards for Petrol with up to 30% Ethanol Amid Energy Crisis
India’s Bureau of Indian Standards has issued technical specifications for petrol blends containing up to 30% ethanol (E22, E25, E27, E30), effective May 15, 2026. The move builds on the nationwide E20 rollout and seeks to absorb a surplus ethanol capacity of...
Oil Prices Fall 2% as Trump Delays Planned Strike on Iran
Global crude prices slipped over 2% on Tuesday after President Donald Trump postponed a planned strike on Iran, easing immediate supply‑risk concerns. Brent futures fell to $109.68 a barrel and NYMEX June crude to $102.70, while the U.S. extended a...
Govt Imposes ₹3 per Litre Duty on Petrol Exports, Cuts Levies on Diesel and ATF
The Indian government announced a Special Additional Excise Duty of ₹3 per litre (≈ $0.04) on petrol exports while reducing export levies on diesel to ₹0.165 per litre (≈ $0.002) and on aviation turbine fuel (ATF) to ₹16 per litre (≈ $0.19). The...
Centre Plans Special FASTags for Toll-Exempt Vehicles Under AI Highway Tolling
The Indian government is creating a separate FASTag category for toll‑exempt vehicles, such as defence and certain government fleets, and linking them to an integrated vehicle database. This will let exempted users travel through Multi‑Lane Free Flow (MLFF) toll corridors...
India’s April Exports Rise 14%; Trade Deficit Widens to $28.38 Billion
India’s merchandise exports surged 14% in April to $43.6 billion, driven by engineering, petroleum and electronics shipments. Imports rose 10% to $71.9 billion, widening the pure merchandise trade deficit to $28.4 billion, though the overall deficit narrowed to $7.8 billion after a strong services...
Donald Trump Meeting with Xi Jinping in China Steadies Oil Markets Amid Fresh Gulf Attacks
U.S. President Donald Trump and Chinese President Xi Jinping met in Beijing, calming oil markets as Brent slipped to $105.25 a barrel and WTI to $100.80. The meeting raised hopes for diplomatic progress in the West Asia conflict, but fresh...
Policy Planners Outline India’s Economic Response After PM’s Call for Energy Discipline
India’s policy makers warned that the West Asia war‑driven oil shock is testing the country’s macro‑economy, threatening inflation, the current‑account gap and rupee stability. Ministers called for tighter fiscal discipline, deeper deregulation and a push toward globally competitive manufacturing to...
‘It Is Coming, and It Is Coming Big’: Uday Kotak on Oil Price Shock
Billionaire banker Uday Kotak warned that India’s oil‑price shock from the West Asia war is about to hit the economy hard. While retail petrol has stayed at ₹94.77 per litre (~$1.14) for 18 months, oil‑marketing companies are absorbing daily losses of up...
West Asia Crisis a ‘Live Stress Test’ for India’s Balance of Payments, Says CEA V Anantha Nageswaran
India’s chief economic adviser V Anantha Nageswaran warned that the West Asia crisis has become a live balance‑of‑payments stress test for the country, pressuring inflation, the current account and the rupee. He highlighted a 48% jump in Brent crude, a 500% surge...
Quality Standards Key to Manufacturing Push; Toy Sector Turned Net Exporter After QCOs: Consumer Affairs Secretary Nidhi
India is prioritising quality compliance over cost in its manufacturing drive, expanding Quality Control Orders (QCO) to cover 723 products. The toy sector, once a net importer, has become a net exporter after a 2021 quality order, illustrating the policy’s...
Fertilizer Squeeze: Why Soaring Import Costs Are a Policy Tightrope for India
India’s fertilizer import costs have surged after US‑Israel strikes on Iran, pushing global urea prices up 81 % in two months. The country relies on imports for 25 % of its urea, 90 % of phosphate and all potash, making the shockwave a...
The Week in Charts: India-Vietnam Trade Ties, Missed Direct Tax Target, PMI Rebound
India and Vietnam have pledged to raise bilateral trade to about $25 billion by 2030, building on a FY26 total that already exceeds $18 billion. The surge is driven mainly by a sharp increase in Indian imports of Vietnamese goods since 2020‑21....
E-Way Bill Generation Eases in April After March Peak
India’s electronic way‑bill system recorded 133.3 million permits in April, a 5% dip from the March peak of 140 million but still 12% above the same month last year. The decline reflects seasonal year‑end dispatches, while the year‑on‑year rise signals continued goods‑movement...
Parliamentary Panel to Review Domestic Output of Petroleum Products on 15 May
India’s parliamentary panel on petroleum and natural gas will meet on 15 May to assess domestic fuel and fertilizer supplies amid disruptions from the West Asia war. While petrol and diesel inventories remain comfortable, LPG imports are strained due to the...
Broad-Based Sector Stress Drove ECLGS 5.0 Rollout, Says Finance Secretary
India’s finance secretary announced the Emergency Credit Line Guarantee Scheme (ECLGS) 5.0, a ₹2.55 trillion (~$31 bn) program designed to cushion broad‑based sector stress from the West Asia war. The scheme extends up to 20% additional working‑capital credit to MSMEs, airlines and other...
West Asia War May Briefly Dent India's Growth as Fundamentals Strong: Memani
The West Asia war is expected to temporarily dent India’s growth, nudging the FY27 forecast down from the pre‑war 7‑7.4% range toward the RBI’s 6.9% outlook. Inflation has spiked, with wholesale‑price‑index rising to 3.88% in March while consumer‑price‑index remains within...
Govt Clears ₹50,000-Crore Package to Boost Credit Flow and Support Businesses
The Indian Union Cabinet approved a ₹18.1 billion (~$2.2 bn) Emergency Credit Line Guarantee Scheme (ECLGS) 5.0, part of a broader ₹50 bn (~$6.0 bn) package aimed at easing liquidity pressures from the West Asia crisis. The scheme offers up to ₹2.55 trillion (~$30.7 bn) of...
SCBs Clock 15.9% Credit Growth in FY26, Led by Services, MSMEs, Retail
India’s scheduled commercial banks posted a 15.9% credit growth in FY26, up from 10.9% the previous year, according to the finance ministry. Total non‑food credit reached ₹212.9 trillion (≈ $2.6 trillion), a rise of ₹29.2 trillion (≈ $352 billion). Growth was broad‑based, led by the services...
Why RBI Wants to Keep India's Gold at Home
The Reserve Bank of India repatriated more than 100 tonnes of gold in the six months to March, boosting domestic gold holdings to 680 tonnes, which now represent about 17% of its $698.5 billion total reserves. The gold share in RBI’s portfolio has...
India Among Most Resilient as Global Shocks Test Emerging Markets: Moody’s Ratings
Moody’s Ratings finds that India and Thailand have emerged as the most resilient large emerging markets amid a series of global shocks since 2020. Clear monetary policy frameworks, anchored inflation expectations and flexible exchange rates helped these economies absorb stress...
RBI Reshuffles Top Deck: New DG Rohit Jain Takes Charge, Portfolios Realigned
The Reserve Bank of India appointed Rohit Jain as a new deputy governor for a three‑year term. His portfolio, effective 4 May, spans fintech, foreign exchange, risk monitoring, IT and corporate strategy, marking a broad market‑facing remit. The reshuffle also reassigned other...
Indian Private Sector New Order Growth Quickens in April but Remains Slowest in 4 Years: PMI Survey Shows
India’s private‑sector manufacturing PMI rose to 54.7 in April, up from 53.9 in March, indicating modest expansion as the new fiscal year began. The improvement was driven by stronger new orders and output, with export orders hitting a seven‑month high....
Oil Prices Subdued After Trump Says US Plans to Help Stranded Ships Cross Strait of Hormuz
U.S. President Donald Trump unveiled "Project Freedom," a plan to escort stranded vessels through the Strait of Hormuz, a chokepoint that handles roughly 20% of global oil flow. Brent futures hovered near $108 per barrel and WTI around $101.65 as...
Govt Says Auto Fuel Shortage Rumour Led to Panic Buys, Assures Stocks Adequate
The Indian government dismissed circulating rumors of a petrol and diesel shortage, confirming that all retail outlets have sufficient stocks and prices remain unchanged. It clarified that while commercial LPG prices rose sharply—about ₹1,000 ($12) per cylinder—the supply of domestic...
OPEC Members Increase Oil Production Quota by 188,000 Bpd, No Word on UAE's Withdrawal Amid War in West Asia
Saudi Arabia, Russia and five other OPEC members announced a 188,000 barrel‑per‑day increase to the June production quota, effectively filling the gap left by the United Arab Emirates’ sudden withdrawal from the cartel. The boost mirrors similar adjustments made in...
Will the West Asia War Accelerate the Age of Electricity? Explained in Charts
The International Energy Agency’s latest report declares we are entering an “age of electricity,” as power generation and consumption outpace fossil‑fuel use worldwide. The agency cites a steady rise in electricity’s share of final energy demand, driven by renewable‑capacity expansions...
Government Lowers Export Duty on Diesel, ATF
The Indian Ministry of Finance lowered export duties on diesel to ₹23 per litre and on aviation turbine fuel (ATF) to ₹33 per litre, effective May 1, after a two‑week period of higher rates (₹55.5 and ₹42 respectively). The reduction follows...
India Plans ₹51,000 Crore Push to Procure 62 Ships Amid West Asia Crisis
India’s Shipping Corp. and state oil firms plan to issue tenders for 62 vessels worth about $6.2 billion this fiscal year. The fleet, totaling 2.85 million gross tonnage, will include container ships, LPG carriers, crude oil tankers and green tugs, with 34...
Eight States Peg Fiscal Gap at 3%; UP Revenue-Surplus, Punjab Most Indebted
Eight Indian states—including Gujarat, Jharkhand, Uttar Pradesh, Telangana, Odisha, Uttarakhand, Bihar and Goa—have capped their fiscal deficits at 3% of GSDP for FY26, matching the 16th Finance Commission’s recommendation. Punjab remains the most indebted, with liabilities equal to 45.1% of its...
Govt Mulls Partial Credit Guarantee, Interest Subvention Support for Pvt Sector Electric Bus, Truck Adoption
India’s heavy industries ministry is evaluating partial credit guarantees and interest‑subvention schemes to lower financing costs for private‑sector electric buses and trucks, which currently cost 2.5‑3 times more than diesel equivalents. Private operators, responsible for roughly 90% of the nation’s two million...
Govt Working on Resuming Shipping Corp of India's Maritime Services to West Asia
India is planning to restart Shipping Corp of India's (SCI) maritime services to West Asia, aiming to support exporters and secure energy imports. The effort is hampered by ongoing disruptions in the Strait of Hormuz, where a war has limited...
India Aims for $2 Tn Total Exports by FY31 with an MSME, Agri Push
India has set an ambitious goal to lift total exports to $2 trillion by FY31, splitting the target evenly between merchandise and services. Exports already hit a record $860.1 billion in FY26, with merchandise at $441.78 billion and services at $418.31 billion. The government...
West Asia War, Weak Monsoon Pose Downside Risk to Growth, Says Finance Ministry
India’s finance ministry warned that the ongoing West Asia conflict and a potentially weak monsoon pose upside inflation risks and could dampen growth. Crude oil prices have hovered near $115 a barrel, feeding higher energy costs that may be passed...
Govt Mulls Customs Duty Relief on Cotton Import to Support Textile Industry
India is weighing a reduction or full removal of the 5% customs duty on raw cotton imports to ease soaring input costs triggered by the West Asia conflict. The proposal also includes a review of the 2.5% duty on rayon‑grade...
India's Fertilizer Subsidy May Jump 20% as Hormuz Crisis Spikes Prices
India’s fertilizer subsidy bill is projected to jump about 20%, reaching roughly $22 billion in FY26, as the Hormuz Strait blockade pushes global nutrient prices higher. The government says retail fertilizer prices will stay unchanged despite urea costs nearly doubling. To...
Mapping the Fallout: Which Indian Sectors Face Risks From the West Asia War?
The West Asia war has ignited the world’s biggest energy crisis, pushing crude oil to about $100 a barrel and disrupting the Strait of Hormuz. In India, the shock has slashed fertilizer output by 24.6% YoY and driven up airline...
The FTA Cautionary Tale: What India-Korea Trade Warns Us About New Global Deals
India’s commerce minister Piyush Goyal announced a review of the 2010 Comprehensive Economic Partnership Agreement (CEPA) with South Korea, citing a growing trade imbalance. Bilateral trade has risen from $12 billion in 2009 to $27.4 billion in 2024, but Indian imports from...
Kedaara Picks up 5% in Axis Finance for Rs750 Crore, Sets Benchmark for IPO-Headed NBFC
Axis Finance, the NBFC arm of Axis Bank, secured ₹750 crore (≈$90 million) from Kedaara Capital for a 5.08% stake, valuing the lender at roughly ₹14,764 crore (≈$1.8 billion). The deal follows a ₹1,500 crore (≈$181 million) rights issue, taking total fresh capital to ₹2,250 crore (≈$271 million)...
Centre Raises Wheat Procurement Target to 34.5 Million Tonnes Amid Erratic Weather
The Indian government has lifted its wheat procurement target for the 2026‑27 marketing season from 30.33 million to 34.5 million tonnes, responding to unseasonal rains and rising state demand. Procurement caps in Madhya Pradesh, Uttar Pradesh and Rajasthan have been expanded, and Delhi will...
RBI Sees Growth, Inflation Risks From Escalating US-Iran War
The Reserve Bank of India warned in its April 2026 bulletin that the escalating US‑Iran war poses a major downside risk to the global and domestic economy. Prolonged conflict could raise energy and input costs, disrupt trade flows and trigger...
Mint Explainer | Is India's Wheat Export Push a Good Idea?
India has reopened wheat exports, raising the quota to 5 million tonnes after a four‑year hiatus. Record‑high stocks of 21.79 million tonnes and a bumper 2025‑26 harvest have created a surplus that threatens domestic price softness. By shipping grain abroad, the government...
Oil Prices up Amid Stalemate over Next Round of Peace Talks, Continued Blockade of Strait of Hormuz
Oil prices edged higher on Thursday as the United States and Iran maintained naval blockades of the Strait of Hormuz, keeping roughly one‑fifth of global oil supplies disrupted. Brent settled at $102.40 a barrel and WTI at $93.51, reflecting a...
Caution at MPC as War Muddies View
The Reserve Bank of India’s monetary‑policy committee left the repo rate unchanged at 5.25% after its April 6‑8 meeting, citing persistent supply‑chain disruptions from the West Asia conflict. Minutes reveal that inflation is expected to rise, but the surge is...
India’s GDP Growth to Slow to 6.4% in FY27 Amid Geopolitical Headwinds: UN Report
The UN Economic and Social Commission for Asia and the Pacific projects India’s GDP growth will decelerate to 6.4% in FY27, down from 7.4% in FY26, before modestly rising to 6.6% in FY28. Inflation is expected to climb to 4.4%...
India, South Korea Working to Double Bilateral Trade by 2030: Piyush Goyal
India’s commerce minister Piyush Goyal announced a dedicated South Korean industrial township and a $6 billion steel plant in Odisha as part of 16 new MoUs, aiming to double bilateral trade with South Korea to $54 billion by 2030. The two governments...
India's Core Sector Contracts 0.4% in March, Hurt by West Asia Conflict
India’s core infrastructure sector slipped 0.4% year‑on‑year in March, its weakest performance in nearly two years, as the West Asia war disrupted supply chains. Output fell sharply in energy‑intensive industries, with crude oil down 5.7%, coal 4% and fertiliser plunging...
Govt Doubles Down on Wheat Exports, Clears Extra 2.5 Million Tonnes
The Indian government approved an additional 2.5 million metric tonnes of wheat for export, raising the total wheat export quota to 5 million tonnes and wheat‑product quota to 1 million tonnes. The move follows a robust production outlook—120 million tonnes projected for 2025‑26 and...