Petrol Diesel Price: Will petrol and diesel prices rise further?
Rise in Petrol and Diesel Prices: Due to the ongoing conflict between the United States and Iran, an upward trend is being observed in crude oil prices. However, India has, for the time being, largely shielded the general public from the full impact of this situation. Meanwhile, Krishna Srinivasan, Director of the Asia and Pacific Department at the IMF (International Monetary Fund), has stated that if this trend persists, India's economy could face instability. Consequently, it may become necessary to consider raising petrol and diesel prices in the near future.
What Did Srinivasan Say?
Krishna Srinivasan attended an event organized by the National Council of Applied Economic Research on May 5. During this event, he spoke about the impact of rising crude oil prices on consumers. He stated that if petrol and diesel prices are not raised despite the increase in crude oil prices, the entire burden will fall upon the market. He also added that if fertilizer prices are reduced, the financial burden on people's pockets would be alleviated to some extent.
What are the current prices of crude oil?
Crude oil supplies are facing disruptions due to the ongoing tensions between Iran and the United States. Consequently, crude oil prices have been rising steadily. Currently, Brent crude is trading above $110 per barrel, while as of April 30, India's crude basket stood at around $118.70 per barrel.
Supply Disruptions Due to Tensions in the Middle East:
It is worth noting that tensions in the Middle East have persisted since February 2026. As a result, not only have the prices of petrol and diesel risen, but the costs of commercial and domestic gas have also skyrocketed. Furthermore, people across the country are grappling with shortages of these commodities. Against this backdrop, a recent statement issued by the IMF could prove to be a cause for sleepless nights for many.
