The Finance Ministry of India has highlighted significant economic risks arising from the ongoing conflict in West Asia, particularly due to rising crude oil prices and increased shipping costs. The Monthly Economic Review for May noted that these developments could exacerbate inflation and hinder economic growth. The US Energy Information Administration (EIA) has revised its projections for crude oil production shut-ins, forecasting an increase to 8,825 thousand barrels per day in June from an earlier estimate of 4,947 thousand bpd. The review indicated that these supply disruptions could complicate global disinflation efforts and delay monetary easing, particularly affecting energy-importing emerging markets. Additionally, the Geopolitical Risk Index has surged to its highest level in over five years, reflecting heightened tensions. The ministry also pointed out that crude oil and petroleum products represent 53.9% of India's imports from the Gulf Cooperation Council (GCC) region. To mitigate these risks, India is strengthening its strategic cooperation with the Abu Dhabi National Oil Company (ADNOC) for LPG supplies and storage, which could enhance energy security amidst ongoing challenges.