Topic
us-iran war
Business Moody's Confident India Can Withstand Fiscal Deficit Breach Without Rating Impact
Moody's Ratings believes India can absorb a wider fiscal deficit this year without endangering its Baa3 investment-grade rating, as pressure from higher energy prices is likely temporary. The government faces a potential 50-basis-point deficit widening to 4.8% of GDP amid US-Iran tensions, but Moody's expects prudent fiscal consolidation to continue. Debt affordability, with interest payments consuming 23% of combined revenue, remains the biggest credit challenge.
Commodities India's Crude Oil Inventory Nears One-Year High on Strong Imports After US-Iran War Depletion
India's crude oil inventories have recovered to near a one-year high at 104 million barrels at end-June, according to Kpler, up from 90.5 million in April. The rebound was driven by strong imports, including record Russian crude purchases exceeding 2.5 million bpd, after stocks were depleted during the US-Iran conflict that disrupted flows through the Strait of Hormuz. The current inventory is sufficient for about 21 days of consumption.
Finance RBI Sells $12B Gold Amid US-Iran Tensions to Bolster FX Reserves
The Reserve Bank of India reportedly sold $12 billion in gold reserves to protect its foreign currency assets amid the US-Iran conflict. This move aims to stabilize the rupee and manage the impact of rising crude oil prices.