Industry Odisha Bureau, April 14: Assessing the damage inflicted on the global energy infrastructure during the last 45 days of the ongoing West Asia conflict and further triggered by the Hormuz hurdle caused by irate Iran in a retaliatory measure to the air strikes on the country since February 28 this year by belligerent joint defence forces of USA and Israel, experts in economy and money matters have opined that the projected growth rate of India in the fiscal year (FY)-27 could shrink.
It has been analyzed that the tense situation hitherto is likely to bring down India’s FY27 growth rate by 0.3-4 per cent points and if the problem keeps on nagging, the economic situation could go haywire.
While India’s economy has reportedly been projected to grow up 7.6 per cent in the FY26, according to the second advance estimates released in February, the fourth-quarter data of India’s Gross Domestic Product (GDP) and provisional figures of the full year is scheduled to be released on May 28 this year.
Notwithstanding that, the Government of India (GoI) has reportedly stated that the West Asia conflict would have insubstantial repercussions on India’s FY26 growth, whereas experts assess that the longer the energy crisis linger, it could hit hard the retail fuel availability that could prompt a spike up in the prices.
Need to be mentioned here that, the GoI has so far reportedly controlled the fuel crisis situation by means of tax cuts and limited price increase. But, under the scenario of a persistent oil crisis along with a skyrocketing crude oil prices, retail sector could get hit hard, and the common consumers have to bear the brunt in the harsher ways, opine experts.
