Expensive, but still cheaperA costlier brent: calamityA resurgent, pricier Brent Crude means India is lapping up more Russian oil, despite the latter trading well above the Western price cap of $60. And India, the third-biggest buyer of oil, cannot afford that.Indian oil minister Hardeep Singh Puri said on October 3 that India will not buy Russian oil if it breaches the Western cap.In December, the Group of 7 countries and various others implemented a maximum price of $60 per barrel for Russian crude oil. The objective was to ensure the continuous flow of Russian oil while also reducing the Kremlin's revenue by pressuring it to accept reduced prices.ET reported recently that with China seeing a lower intake of Russian oil, Indian refiners bought more of the Russian supply. India is currently buying Russian oil at nearly $80 per barrel, around $20 above the G7-imposed price cap. The ongoing rise in oil prices and a decrease in global market demand, which has led to a slowdown in exports, are anticipated to affect India’s fiscal math further.

Source: Economic Times October 05, 2023 17:47 UTC