Finance Panel Warns of 'Triple Whammy' from Oil Surge, Urges Energy Mitigation

• Standing Committee on Finance recommends a "strategic energy mitigation framework" to shield the economy from oil shocks above $90.
• Panel expresses serious concern over a potential "triple whammy" of surging crude prices, market volatility, and maritime delays due to the West Asia conflict.
• Scenario analysis suggests 7%-7.4% GDP growth and 2% inflation are feasible up to $90/barrel, but $130/barrel could destabilize the fiscal deficit.
• Indian crude oil basket nearly doubled to $142.69/barrel by March 16, from $71/barrel on February 27, following West Asia conflict.
• Finance Ministry notes macroeconomic strain would reflect if crude prices remain above $100/barrel for a sustained period, highlighting "unknown unknowns" like gas supplies and sea lane safety.