India Can’t Afford Fearmongering: Nirmala Sitharaman Pushes 3Fs Amid West Asia Crisis

India can’t afford fearmongering: Union Finance Minister Nirmala Sitharaman said on Monday that the government is closely monitoring how the West Asia crisis is impacting India’s economy, especially in fuel, fertiliser, and foreign exchange reserves.

She stressed that India’s economic fundamentals remain strong and said the government’s policies aim to support growth despite outside challenges.

India Can’t Afford Fearmongering: Sitharaman on Fuel Price Relief: Excise Duty Cut May Cost Rs 1 Lakh Crore

Petrol diesel prices: During the 37th anniversary celebration of the Small Industries Development Bank of India, Sitharaman said reducing excise duty on petrol and diesel would cost the government close to Rs 1 lakh crore in revenue, as per PTI.

Nirmala Sitharaman Latest News: FM Sitharaman Calls Focus on ‘Three Fs’ Amid Surge in Fuel and Fertiliser Costs

The finance minister said that rising crude oil prices and a sharp increase in fertiliser costs are now major concerns for the economy.

She described fertiliser prices as “unimaginable” and pointed out that high gold prices are also affecting India’s external sector.

“There is a need to focus on the three Fs of fuel, fertiliser and forex,” Sitharaman said, according to news agency PTI.

India Economy News: FM Hits Back at ‘Negative Narrative’, Says India’s Economy Is Resilient

India can’t afford fearmongering: The Indian economist also rejected what she saw as attempts to create panic about the economy.

Without naming anyone, she criticised “naysayers” for presenting a negative view, even though she believes positive steps are being taken across the country.

“'All the good that is being done by the common people themselves, that is forgotten. And a pessimistic, cynical narrative is generated, which is just not right,” she said.

“We should appreciate that the challenges are more externally driven. We must also recognise that India's domestic economic situation remains positive and resilient even today,” the FM said.

“India cannot afford fearmongering. We need to give confidence to the people with our words and with our actions,” she added.

Iran War Impact: MSME Dues Remain a Concern

Sitharaman also addressed delayed payments to micro, small, and medium enterprises, saying that about Rs 8.1 lakh crore remains stuck due to unpaid dues.

She urged public sector companies to pay MSMEs within the required 45 days and warned them not to delay payments without a valid reason. Reckoning with the economic cost of the war.

The ongoing conflict in West Asia is beginning to affect India’s fuel imports. The government is encouraging people to spend wisely amid growing global uncertainty.

This month, Prime Minister Narendra Modi asked people to spend wisely and avoid buying gold or taking trips abroad, expressing concern about the economic effects of the conflict.

With the Strait of Hormuz closed, concerns have grown over interruptions in petroleum product and urea supplies to India.

Fuel Prices Today: Fuel Costs Soar as Oil Companies Raise Petrol, Diesel Prices Again

Crude oil prices: Fuel prices have risen several times in the past two weeks. On Monday, state-run oil companies increased petrol prices by Rs 2.61 per litre and diesel by Rs 2.71 per litre.

Since May 15, petrol has risen by about Rs 7.35 per litre, and diesel by about Rs 7.53 per litre.

‘3FS’: What Are They?

Sitharaman said India should focus on fuel, fertiliser, and foreign exchange, especially during this crisis.

She said the Prime Minister’s call to save foreign exchange is “very important” right now. She added that these three areas are more important because the world is less predictable.

Earlier this month, Prime Minister Modi asked people to avoid wasting fuel, save foreign exchange, and not buy gold. These steps are meant to help with economic pressure from higher energy costs.

India Faces Growing Economic Strain as Middle East Conflict Pushes Up Oil Prices

India can’t afford fearmongering: India is facing problems because crude oil prices are rising, and supplies were disrupted when the Strait of Hormuz closed during the U.S.-Israel's conflict with Iran.

Higher prices for crude oil, fertilisers, and gold are putting pressure on India’s economy.

India is the world’s third-largest importer and consumer of oil, and fuel prices have already gone up.

On Monday, petrol and diesel prices increased again, the fourth time in May, as oil companies tried to recover losses.

The Finance Minister also said the government’s income might decline in FY27 because it will collect less excise duty on fuel.

Sitharaman said that cutting fuel excise duties is expected to lower government earnings by about 1 trillion during the year.

Uncertainty continues, and the government seems to be focusing on using resources wisely and managing risks in energy and imports.