Crude oil imports News
The Reserve Bank is expected to increase the repo-rate or the short-term lending rates by 50 basis points in a bid to tame inflationary pressure. India's trade deficit more than doubled to USD 27.98 billion in August due to increased crude oil imports. Import of 'petroleum, crude & products' stood at USD 17.7 billion in August this year, an annual increase of 87.44 per cent.
The surge in oil prices following Russia's invasion of Ukraine last month threatens to fan Indian inflation. India buys most of its oil from the Middle East, but the United States has emerged as the fourth-biggest source and this year supplies will rise substantially. European countries continue to import Russian oil and gas, and India cannot be stopped from doing so too.