Oil crisis to have limited impact on inflation, fiscal numbers: RBI Governor

Reserve Bank (RBI) Governor Shaktikanta Das on Thursday expressed the hope that the ongoing crisis in Saudi Arabia that has spiked crude prices to multi-year highs will have limited impact on inflation and fiscal numbers.

The drone attacks on the world’s largest oil refinery in Saudi Arabia, alleged to have been carried out by Iran over the past weekend, has lead to a massive 20 per cent surge in crude prices.

The crisis has spooked domestic markets and roiled the rupee leading to fears that a prolonged supply disruption will create problems for the domestic economy as around 80 per cent of oil demand is met through imports.