Nirmala Sitharaman on Fuel Prices: No Room for Fear Mongering as Revenue Loss Nears Rs 1 Lakh Crore
India is facing renewed pressure on household budgets as fuel prices continue to climb, but Union Finance Minister Nirmala Sitharaman has called for restraint in public reaction and a stronger focus on economic resilience.
Speaking on Monday, she noted that any reduction in excise duties on petrol and diesel would result in a revenue loss of nearly ₹1 lakh crore for the government. Her remarks came at a time when fuel prices have seen a sharp upward trend, with the latest increase pushing petrol up by ₹2.61 per litre and diesel by ₹2.71 per litre. This marks the fourth hike in just ten days, adding further strain on transport and daily expenses.
At the 37th anniversary event of the Small Industries Development Bank of India (SIDBI), the Finance Minister pushed back against what she described as a growing wave of negativity. She said it was important to counter a “pessimistic narrative” and emphasised that “India cannot afford fear mongering.”
She stressed that public discourse should reflect confidence rather than alarm, adding that both words and actions must help strengthen trust in the economy. According to her, while global conditions remain uncertain, India’s domestic economic fundamentals continue to show resilience.
Focus on fuel, fertiliser and forex
With the Middle East crisis nearing its third month, Sitharaman highlighted the importance of closely monitoring what she called the “three Fs”, fuel, fertiliser and forex. She pointed out that international pressures are mounting, with fertiliser prices rising to unprecedented levels and higher gold prices creating additional challenges for external stability.
Speaking on Monday, she noted that any reduction in excise duties on petrol and diesel would result in a revenue loss of nearly ₹1 lakh crore for the government. Her remarks came at a time when fuel prices have seen a sharp upward trend, with the latest increase pushing petrol up by ₹2.61 per litre and diesel by ₹2.71 per litre. This marks the fourth hike in just ten days, adding further strain on transport and daily expenses.
At the 37th anniversary event of the Small Industries Development Bank of India (SIDBI), the Finance Minister pushed back against what she described as a growing wave of negativity. She said it was important to counter a “pessimistic narrative” and emphasised that “India cannot afford fear mongering.”
She stressed that public discourse should reflect confidence rather than alarm, adding that both words and actions must help strengthen trust in the economy. According to her, while global conditions remain uncertain, India’s domestic economic fundamentals continue to show resilience.
Focus on fuel, fertiliser and forex
With the Middle East crisis nearing its third month, Sitharaman highlighted the importance of closely monitoring what she called the “three Fs”, fuel, fertiliser and forex. She pointed out that international pressures are mounting, with fertiliser prices rising to unprecedented levels and higher gold prices creating additional challenges for external stability.Next Story