India News | This Will Lead to Further Inflation, Growth Estimates to Fall: Jairam Ramesh Slams Centre for Raising Fuel Prices Amid West Asia Crisis
Get latest articles and stories on India at LatestLY. Targeting the Centre over the latest fuel price revision, he further stated, "Now that international oil prices are climbing up because of the war in West Asia unleashed by the PM's good friends--the US and Israel--and assembly elections are over, the Modi Govt has increased petrol and diesel prices after having hiked commercial LPG prices earlier. This is bound to lead to further inflation that is now projected to be close to 6% for this financial year. Growth estimates will be lowered considerably."
New Delhi [India], May 15 (ANI): Congress leader Jairam Ramesh on Friday criticised the Centre over the hike in petrol and diesel prices, alleging that the increase would worsen inflation and adversely impact economic growth amid the ongoing West Asia crisis.
In a post on X, Ramesh said the Congress had repeatedly urged the government to pass on the benefits of lower international crude oil prices to consumers in previous years, but alleged that domestic fuel prices were not reduced at the time.
"For years when international oil prices were soft or declining, the Indian National Congress had been urging that those benefits should be passed on to Indian consumers and that domestic prices of gas, petrol, and diesel should be reduced. That, however, did not happen and consumers were fleeced," Ramesh said.
Targeting the Centre over the latest fuel price revision, he further stated, "Now that international oil prices are climbing up because of the war in West Asia unleashed by the PM's good friends--the US and Israel--and assembly elections are over, the Modi Govt has increased petrol and diesel prices after having hiked commercial LPG prices earlier. This is bound to lead to further inflation that is now projected to be close to 6% for this financial year. Growth estimates will be lowered considerably."
https://x.com/Jairam_Ramesh/status/2055131136830144824
The Centre on Friday increased petrol and diesel prices by Rs 3 per litre across the country. Following the revision, petrol prices in New Delhi rose from Rs 94.77 to Rs 97.77 per litre, while diesel prices increased from Rs 87.67 to Rs 90.67 per litre.
The fuel price hike comes amid escalating global crude oil prices triggered by the ongoing conflict in West Asia. The geopolitical tensions, particularly the US-Israel and Iran conflict that began on February 28 this year, have disrupted global crude oil supplies and pushed Brent crude prices above USD 100 per barrel.
Earlier, Karnataka Deputy Chief Minister DK Shivakumar also criticised the Centre over the fuel price hike, alleging that Prime Minister Narendra Modi had failed in managing international relations amid the crisis.
Meanwhile, the Centre has maintained that India has sufficient fuel reserves and there is no shortage of petroleum products in the country despite global volatility.
Union Minister for Petroleum and Natural Gas Hardeep Singh Puri said India had ensured uninterrupted supplies of petrol, diesel and LPG despite global volatility and supply shocks. Addressing the CII Annual Business Summit 2026, Puri said fuel prices in India had largely remained stable since 2022 due to strong policy coordination and effective supply management.
"If you look at the fiscal situation, if you look at the fact that my oil companies are losing Rs 1,000 crores every day, the under recovery is going to be Rs 1,98,000 crores. The losses are Rs 1 lakh crore, if you look at the quarter. In that context, how long can you keep it like this? Where is the oil? It used to be around $64 or $65. It has gone up to $115 in that basket," he said. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)