Moody’s warns govt against diesel price rollback
New Delhi: Cautioning the government against a rollback of diesel price hike, credit rating agency Moody's on Thursday said that any such step would limit its subsidy reduction plan.
Reuters
"If the government rolls back a part of the hike, as some coalition partners and members of opposition parties have demanded, the decline in subsidies will be smaller," Moody's said in its credit outlook report.
Battling huge fuel subsidy payout, the government raised diesel prices last week, the first time since June 2011, by Rs 5 a litre.
Moody's statement came on a day when opposition parties observed a nation-wide strike to protest against the price hike and government's move to operationalise its decision on allowing foreign direct investment in multi -- brand retail.
Moody's said the price hike would lower government's subsidy burden by Rs 20,000 crore in the current fiscal to an estimated Rs 1.7 lakh crore.
(Continued)
Related Content
More India News
- Delhi lokayukta indicts Sheila Dikshit for misuse of public money
- UPA made growth more inclusive: PM
- Karzai gives India military equipment ‘wish list’
- Malegaon blast: Col Purohit, Aseemanand and Sadhvi Pragya’s names missing from chargesheet
- Jessica murder: Actor, ballistic expert to be tried for perjury
Advertisement
Most Popular
- Shared
- Viewed
Advertisement
today on msn india
