India hikes fuel prices as Middle East war strains supplies
Summary
India's state-run oil companies increased petrol and diesel prices by over three percent due to supply disruptions caused by the Iran war, affecting the economy and prompting austerity measures.
Key Points
- India raised petrol and diesel prices by more than three percent due to energy supply disruptions from the Iran war.
- The price hike is the first for automobile fuel since the war began, affecting supplies routed through the Strait of Hormuz.
- India has increased imports of Russian crude to compensate for Middle East supply gaps amid US sanctions.
- Government officials have introduced austerity measures, including reduced fuel consumption and work-from-home days, to conserve foreign exchange.
