Reserve Bank of India (RBI) Governor Sanjay Malhotra cautioned that India may face increases in petrol and diesel prices if global crude oil prices, currently around $107 per barrel, remain high for an extended period. Speaking at a conference in Switzerland, he highlighted the impact of ongoing geopolitical conflicts on inflation and supply chains. Although the government and state-run oil marketing companies have managed to shield consumers from the full effects of rising crude prices, Malhotra suggested that this could change if prices continue to escalate. He noted that excise duties on fuels had previously been reduced, and fuel retailers are currently absorbing some of the increased costs. Malhotra also pointed out that supply-chain disruptions are affecting India, necessitating fiscal coordination to address significant supply shocks. The RBI has projected India's economic growth at 6.9% and inflation at 4.6% for the current financial year, but economists warn that prolonged geopolitical tensions could elevate inflation further while hindering growth. The RBI's next monetary policy meeting is set for June 5.