Rising oil prices are a concern for the Indian economy but its outlook remains bright after better September monsoons and a retreat in the prices of some key food items, the government said in its monthly economic report on Friday.
The comment comes as oil prices rose to 10-month highs earlier this week before easing, on extended production cuts from key suppliers Saudi Arabia and Russia.
India, the world’s third-largest energy importer, purchases more than 80 per cent of its crude oil from international markets.
“The recent run-up in oil prices is an emerging concern. But, no alarms yet,” the government said in its report.
