US sanctions on Iran: Energy import bill to hurt India as oil prices zoom

An increase in oil prices can turn out to be a blow for India as with every $1 rise increase in crude oil prices, the impact on the current account deficit is likely to be around $1 bn

The decision by the United States to pull out of the nuclear deal with Iran may have long-term impact in the context of India’s energy imports as Iran is the third largest supplier of crude oil to India, after Saudi Arabia and Iraq. Moreover, if prices touch $80 a barrel, it may turn out to be an even bigger blow for India as it will impact the current account deficit.

For every $1 rise increase in crude oil prices, the impact on current account deficit is likely to be around $1 billion. India is the second largest buyer of Iran