New Delhi. The threat of further war looms after Russia’s ballistic missile attack on Ukraine. In such a situation, the prices of crude oil have also increased. Due to this, the prices of petrol and diesel are also likely to increase. According to the latest news, the price of crude oil has increased in the international market on Saturday. Every barrel of Brent crude is being sold at $75.17 in the international market. At the same time, the price of one barrel of WTI crude has increased to $71.24. It has been 1000 days since the ongoing war between Russia and Ukraine. If the war between the two intensifies or spreads to new countries in Europe, it may affect India as well.
Currently, India has kept the prices of petrol and diesel stable in the market by continuing to buy crude oil from Russia at a lower price. To provide relief to the common people, the central government had also reduced the tax on petrol and diesel. At the same time, BJP ruled states had also reduced VAT. If the price of crude oil crosses $80, then India may also see an increase in the prices of petrol and diesel. The reason for this is that apart from Russia, India also buys crude oil from other countries for its energy needs. If the prices of petrol and diesel increase, then there are chances of inflation increasing further.
If we talk about inflation, then in October 2024 it had exceeded the level of 6 percent set by the government and the Reserve Bank of India i.e. RBI. Retail inflation rate was recorded at 6.21 and wholesale inflation also increased to 2.3 percent. The prices of food items also remain high. Due to increase in the price of crude oil, India’s foreign exchange reserves are also affected. Just two days ago, India’s foreign exchange reserves have decreased by more than 17 billion dollars. It has now come to $657.9 billion.
