Oil shock may cut growth by 0.8% but India can handle: S&P

India’s fundamentals are in a good place to take the blow from oil shock , said S&P in a statement.

The stress test by the financial services firm found that , for an oil price that averages at $130 a barrel in 2026 and at about $100 a barrel in 2027, economic growth could slow by up to 80 basis points from its base case of 7.1% in fiscal 2027 (ending March 31, 2027). The earlier base case was oil price of $85 per bbl for Brent oil for the rest of 2026 and $70 for 2027.