Most brokerages are betting that the new government will shift to a policy focussing on boosting rural incomes and consumption since that has clearly been a pain point.
Petrol costs more in India than Pakistan.
Sitharaman raised excise duty and road and infrastructure cess on the auto fuels by Rs 2 per litre each to raise over Rs 28,000 crore.
An Empowered Group of Ministers (EGoM) may go with Oil Minister Murli Deora's proposal to free petrol prices from government control, which would trigger a hike of Rs 3.73 a litre, official sources said.
Indian Oil Corporation (IOC), the nation's biggest oil firm, on Tuesday reported a 31.4 per cent drop in the fourth quarter net profit as record refining margins were wiped away by a margin squeeze in petrochemicals and losses on auto fuel sales. Standalone net profit of Rs 6,021.88 crore, or Rs 6.56 a share, in January-March, compared with Rs 8,781.30 crore, or Rs 9.56 per share, in the same period a year back, the company said in a stock exchange filing. Sequentially, the profit was higher than Rs 5,860.80 crore in the previous quarter.
The government is likely to hike prices of petrol and diesel by Rs 4 and Rs 2 per litre, respectively, as global crude oil prices continued to surge.
After Congress, the United Progressive Alliance on Thursday endorsed government's recent tough economic decisions and discussed the need "to do more reforms".
These decisions were unavoidable because India was at real risk of 'downgrading of its sovereign ratings.' That would have meant more stringent terms and conditions of borrowings, investments and international bargains in projects and trade.
Senior Bharatiya Janata Party leaders Ravi Shankar Prasad and C P Thakur were detained in Patna on Thursday during a protest against the Congress-led United Progressive Alliance government over Foreign Direct Investment in multi-brand retail and the hike in diesel prices. Several other opposition leaders have also been detained by the police.
Dravida Munnettra Kazhagam, a key ally of the ruling United Progressive Alliance, on Tuesday announced its participation in the nation-wide bandh on September 20 called by several non-UPA parties to protest the Centre's decision to hike diesel price, allow FDI in multi-brand retail and limit subsidised cooking gas.
Finance Minister Nirmala Sitharaman on Friday hiked tax on petrol and diesel, raised import duty on gold, levied additional surcharge on super rich and brought a tax on high value cash withdrawals as she sought to spur growth with reduction in corporate tax and sops to housing sector, startups and electric vehicles.
Admitting that hiking the prices og petrol diesel and LPG was a "difficult" decision, Finance Minister P Chidambaram
With government gearing up to face the opposition onslaught in winter session of Parliament on foreign direct investment in retail issue besides hike in diesel price, Prime Minister Manmohan Singh on Friday night hosted a dinner for Samajwadi Party supremo Mulayam Singh Yadav.
Costlier petrol, diesel and food products pushed up inflation to 4.14 per cent during the week ended June 25 but it was much lower than 6.95 per cent a year ago.
Prime Minister Manmohan Singh will address the nation on Friday night to explain the government's recent decisions on economic reforms, which have triggered widespread political protests across the country. The prime minister will address the nation at 8 pm on Doordarshan about the recent decisions on economic reforms, officials said.
Samajwadi Party chief Mulayam Singh Yadav and Left leaders Prakash Karat and A B Bardhan on Thursday courted arrest in New Delhi during the nationwide bandh against Foreign Direct Investment in retail and diesel price hike. They were later released.
Samajwadi Party workers on Thursday held demonstrations in some parts of Uttar Pradesh and stopped a train in Allahabad in support of the bandh against Foreign Direct Investment in retail and hike in diesel prices.
Both Samajwadi Party and the Bahujan Samaj Party might be thoroughly opposed to the United Progressive Alliance government's recent decision to allow FDI in retail as well as the hike in diesel price, but neither of these parties are likely to immediately part ways with the UPA.
Though no reason was officially cited for his absence, Trinamool Congress sources here said Mitra will attend a crucial parliamentary meeting of the party in Kolkata on Tuesday to discuss the Centre's decision to hike diesel price, restrict of subsidised cooking gas and allow FDI in retail and decide the future of the party's ties with the United Progressive Alliance.
A day before the crucial meeting of the Trinamool Congress parliamentary party on Tuesday which is scheduled to take a call on the hiked diesel price, cap on subsidized LPG and FDI in multi-brand retail, party chief Mamata Banerjee on Monday hit out at a section of the media for disseminating "distorted and concocted information".
Oil prices slid to a three-week low on Wednesday on expectations of falling global demand after India , the world's sixth largest oil and gas consumer, lowered its fuel subsidies.
The Indian rupee also trimmed most of its early gains and was trading at Rs 61.28 compared to its Wednesday's close of Rs 61.31 to the US dollar.
After briefly maintaining prices at par with public sector oil marketing companies following the June 25 price hike, private fuel retailers Essar Oil and Reliance Industries are selling petrol and diesel at a premium of Rs 0.50 to 2.50 per litre in some states.
There will be no change in LPG and kerosene rates, Oil Minister M Veerappa Moily told reporters in New Delhi after the meeting on Cabinet Committee on Political Affairs. "I am happy to inform the Cabinet Committee on Political Affairs has decided to raise the cap on subsidised LPG to nine cylinders per household in a year from existing six cylinders," he said.
Congress said ATF prices have been reduced by 31% while petrol only 16%.
In no case can the UPA government pamper the private oil companies to make windfall profits and at the same time increase the price of petrol and diesel and burden the people further
Rentals were already high due to strong manufacturing sector growth.
According to the global financial services firm, FY16 would be a notable year for India with gradual improvement in economic growth and declining inflationary pressures amid falling global commodity prices and policy initiatives.
Hyderabad on Monday became the second metro city in the country to see petrol price crossing Rs 100 per litre mark after fuel prices were raised yet again. Petrol price was hiked by 29 paise per litre and diesel by 30 paise, according to a price notification of state-owned fuel retailers. The hike -- 24th in six weeks -- pushed fuel prices across the country to new historic highs. In Delhi, petrol hit an all-time high of Rs 96.41 a litre, while diesel is now priced at Rs 87.28 per litre.
Bharatiya Janata Party spokesman Shahnawaz Hussain on Saturday said the country is not being run by a government, but a private limited company whose basic job is to protect the interests of oil companies and not the common people. He was addressing a news conference at the party headquarters in New Delhi on Saturday. He demanded that the union government must immediately rollback the fuel price hike.
Sniping at the Congress, the Bharatiya Janata Party on Sunday said its rally in New Delhi was intended to create a false bravado for the demoralised cadre of the ruling party which has failed to address serious concerns over corruption and multiple scams.
Calling Prime Minister Narendra Modi "Saheb" during a discussion on the government's resolution on good works in the Delhi assembly's special session, Kejriwal said the nation is not with him in his "theatrics".
Petroleum Minister Mani Shankar Aiyar on Monday remained non-committal on rolling back the hike in petrol, diesel and cooking gas prices saying the demands for revisiting the decision could only be considered after the Prime Minister returns from The
Aviation turbine fuel to now cost more.
The market breadth in BSE remained dismal with 1,708 shares declining and 1,084 advancing.
Petrol prices on Thursday crossed Rs 73 a litre mark, the highest level since the BJP government came to power in 2014, while diesel touched a record high of Rs 64.11 a litre.
Strike has been called in protest against the recent hike in diesel prices.
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