New Delhi, July 9 (IANS) India has the resilience to deal with the economic impact of rising crude oil prices and ongoing geopolitical tensions in the Middle East, and there is no need for panic despite the prevailing global uncertainty, Vijay Kalantri, World Trade Center Chairman said on Thursday.

Speaking to IANS, Kalantri said the escalation in tensions following fresh US military action against Iran has led to volatility in global markets, with crude oil prices rising above $78 per barrel and the Indian rupee coming under pressure.

He noted that the uncertainty has also affected investor sentiment, resulting in weakness in stock markets.

“Higher crude oil prices could increase India’s import bill and exert upward pressure on inflation, as the country imports a significant portion of its energy requirements,” he mentioned.

However, he stressed that the current situation does not warrant panic.

“India has successfully managed periods of much higher crude oil prices in the past, including when oil traded above $100 per barrel. The economy has demonstrated resilience during previous global crises and is capable of handling the present situation as well,” Kalantri pointed.

He added that while the geopolitical situation remains uncertain and its future course will depend on developments involving the US, Iran and other global stakeholders, India should remain focused on maintaining economic stability rather than reacting with alarm.

“The situation is evolving, and we need to closely monitor developments over the coming days. But India has handled similar challenges before, and I believe the country is in a strong position to deal with the current uncertainty,” Kalantri said.

“We should not panic. There is uncertainty at the moment, but India has handled higher oil prices in the past. We need to closely watch how the situation develops over the coming days,” Kalantri mentioned.

–IANS

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