Inflation Risks
As we move into the second half of the fiscal year, the Reserve Bank of India’s (RBI) forecast of a 4.5 per cent average inflation rate brings some optimism.
India on Thursday appreciated the US decision to grant it an exemption from Iran-related sanctions for oil purchases and the development of the Chabahar Port.
‘’We have seen the US notification, including India in the list of countries, granted significant reduction exemption for the continued purchase of Iranian crude oil without attracting US sanctions,’’ External Affairs Ministry spokesperson Raveesh Kumar said at a media briefing.
India, he said, was happy that Washington has taken in to account India’s need for energy security and understood New Delhi’s sensitivities on this matter. ‘’We welcome this. We are now examining the details of the exemption,’’ he added.
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READ | US exempted India from ‘certain’ Iran sanctions over Chabahar port
The spokesperson noted that India was a major importer of crude oil from Iran. This was very important for its own energy security needs.
New Delhi appreciated the fact that US has shown understanding of India’s position and said that its intention was not to hurt India.
He, however, declined to give details about the quantum of crude oil that India would continue to import.
On the Chabahar Port that has provided India a crucial transport link to Afghanistan, bypassing Pakistan, the spokesperson said India has taken note of the US statement that exception has been provided under the Iran Freedom and Counter Proliferation Act of 2012 with respect to development of port and the construction of an associated railway line.
‘’We appreciate that the US recognised the role which this port will play to bring strategic and long-term benefits to Afghanistan as well as enhance Afghanistan’s connectivity with the outside world,’’ he added.
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