NEW DELHI: Given the increase in the price of crude oil in the international market, the diesel and petrol prices should have been higher by Rs 7-14, suggests a report by the State Bank of India’s (SBI) economic wing. The report also highlighted that the intensifying geopolitical tensions in Europe is going to cost India at least Rs 1 lakh crore this fiscal year.
“Based on the existing VAT structure and taking Brent crude price of $95 per barrel to $110 per barrel, diesel and petrol prices should have been higher by Rs 7-14,” reads the report. As the Russian president Vladimir Putin started military operations in Ukraine on Thursday, the Brent crude oil prices hit $105 per barrel for the first time since 2014.
