IMF regional outlook credits India's diversification of oil supplies for absorbing energy market disruption

16 October 2026

The International Monetary Fund's October 2026 Regional Economic Outlook for Asia and the Pacific says India's efforts to diversify its oil supplies helped it cope with the disruptions in energy markets linked to the conflict in West Asia. The report warns that prolonged high energy prices could create inflationary pressures. The Regional Economic Outlook is published twice a year for each IMF region and is distinct from the global World Economic Outlook. India is a large net importer of crude oil, so the source mix of its imports is a direct determinant of its current account and of retail fuel prices.