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    COVER STORY                                                            MARCH 13, 2026      |  The Indian Eye                    5

            many  Indian  refineries  are  designed                                                               and temporarily suspended flight op-
            to process Middle Eastern crude.”                                                                     erations due to the evolving situation.
                                                                                                                      The  embassy said passengers
                Strategic vulnerability of                                                                        should remain in touch with their air-
                        Hormuz                                                                                    lines as updates are issued.
                  he Strait of Hormuz remains                                                                          Political and strategic
                  at the centre of global con-
            Tcern. Roughly 20–25 per cent                                                                                   implications
            of global oil shipments pass through                                                                        he  conflict  is  also  triggering
            the narrow waterway connecting the                                                                          political debate in India over
            Persian Gulf to international markets.                                                                Tenergy security and foreign
                Iranian Deputy Foreign Minister                                                                   policy autonomy. Opposition leaders
            Saeed Khatibzadeh has sought to re-                                                                   have criticised the United States after
            assure global markets that Tehran has                                                                 Washington announced a temporary
            not blocked the route despite the es-                                                                 waiver allowing Indian refiners to pur-
            calating conflict.                                                                                    chase Russian oil during the crisis.
                “Iran is an anchor of stability                                                                       Congress  leader  Rahul Gand-
            in the Strait of Hormuz. We will an-                                                                  hi described India’s foreign policy as
            nounce if we close the Strait of Hor-  A tanker on fire after being hit by rockets in the Strait of Hormuz (Agency Photo)  “exploitation of a compromised in-
            muz. We have not closed it,” he said                                                                  dividual,” arguing that the country’s
            at the Raisina Dialogue in New Delhi.  could weigh on investor sentiment   Cooperation Council countries such   strategic  decisions  should  reflect  its
                “We have not yet closed the Strait   and adversely affect India’s twin defi-  as Qatar, Saudi Arabia and the Unit-  own interests and traditions.
            of Hormuz. We have no intention to do   cits, inflation trajectory, and the RBI’s   ed Arab Emirates. The region is crit-  Meanwhile, Congress MP Man-
            that until further notice,” he added, de-  monetary stance,” he said.  ical not only for remittances but also   ish Tewari questioned whether India
            scribing Iran as a “responsible power”   Market volatility has also surged,   for  India’s  labour  exports  and  eco-  should require approval from Wash-
            committed to freedom of navigation.  with  India  VIX  rising  more  than   nomic ties.               ington to secure energy supplies.
                Nevertheless, the possibility of   11 per cent in a single session — a   In response to the deteriorating   “Are we a banana republic that
            disruptions — even temporary ones   sign that investors are preparing for   security situation, the Indian Embassy   we need the permission of the US to
            — continues to worry energy-import-  heightened uncertainty.        in Doha has issued advisories to Indi-  secure our energy security impera-
            ing countries across Asia.            Ponmudi R, CEO of Enrich      an nationals in Qatar.            tives?” he asked.
                India maintains strategic petro-  Money, said escalating rhetoric and   Residents have been urged to re-  The controversy followed a
            leum reserves that can help cushion   retaliatory actions in the region have   main in safe locations, avoid unneces-  statement from US Treasury Sec-
            short-term supply shocks. But Bharti   kept market participants defensive.  sary travel and follow the instructions   retary Scott Bessent announcing a
            warned that the buffer may be limited   “The heightened uncertainty   of local authorities.           short-term waiver allowing Indian
            in the face of prolonged disruptions.  and rising headline risk kept market   The embassy also opened a reg-  refiners  to  purchase  Russian  crude
                “We  have  reserves for  about   participants defensive, resulting in   istration link to assist Indian nation-  to maintain global supply stability
            25–30 days for emergency situations,”   subdued risk appetite throughout the   als stranded in Qatar while transiting   during the conflict.
            she said, adding that even a two-week   session,” he said.          through the region.                   Strategic balancing act
            supply disruption could trigger volatil-  Diaspora concerns in the Gulf  “Embassy of India, Doha, is
            ity in Asian economies.                                             opening a registration link to facilitate   or India, the unfolding crisis
                                                    he crisis has also raised con-  in obtaining temporary transit visa for   highlights the delicate balance
                     Markets react
                                                    cerns about the safety and mo-
                   to geopolitical risk       Tbility of the large Indian dias-  Saudi Arabia only for those Indian  Fit must maintain in West Asia
                                                                                nationals who are currently stranded
                                                                                                                  — a region central to its energy secu-
                 inancial markets have already   pora in the Gulf region.       in Qatar on transit,” the advisory said.  rity, diaspora welfare and geopoliti-
                 begun reacting to the escalating   Millions of Indian workers live   Travel disruptions have intensi-  cal interests.
            Ftensions. Indian equity markets   across West Asia, particularly in Gulf   fied  after  Qatar  closed  its  airspace   While diversified energy sourcing
            ended the week sharply lower as in-                                                                   and strategic reserves provide some
            vestors grew cautious amid rising oil                                                                 protection against immediate shocks,
            prices and geopolitical uncertainty.                                                                  prolonged  instability  in  the  region
                The BSE Sensex closed at                                                                          could still exert significant pressure on
            78,918.90 points, down 1,097 points,                                                                  India’s economy.
            while the Nifty ended at 24,450.45,                                                                       The conflict also underscores the
            falling 315 points.                                                                                   urgency of accelerating long-term en-
                Analysts  say  the  conflict  has                                                                 ergy transitions.
            weakened  investor  confidence  and                                                                       Bharti said the crisis should serve
            increased volatility in global markets.                                                               as a wake-up call for countries heavily
                “Investor sentiment remained                                                                      dependent on fossil fuel imports.
            guarded amid lingering  geopolitical                                                                      “Such geopolitical disruptions
            uncertainties and elevated crude oil                                                                  are an eye-opener,” she said. “Gov-
            prices,  which  continue  to  influence                                                               ernments may increasingly focus on
            global risk appetite,” said Ajit Mishra,                                                              renewable energy like solar power so
            Senior Vice President for Research at                                                                 that dependence on volatile fossil fuel
            Religare Broking.                                                                                     supply routes can be reduced.”
                Vinod Nair, Head of Research at                                                                       For India, the outcome of the
            Geojit Investments Limited, said the                                                                  Iran conflict will shape not only ener-
            tensions were affecting India’s macro-  Passengers from a flight via Muscat arrived safely amid the ongoing international tensions at   gy markets but also the broader sta-
            economic outlook.                              the I.G.I Airport, in New Delhi on Tuesday (ANI Video Grab)  bility of a region that remains deeply
                “A sustained rise in oil prices                                                                   intertwined with its economic future.

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