The agency said the post-COVID-19 pandemic recovery is being hit by a potentially huge global supply shock that will reduce growth and push up inflation.
To avoid political backlash, state oil companies tend to cut prices or avoid increases ahead of election, or when the parliament is in session. This puts pressure on their margins. To make up for this, companies tend to expand margins at other times.
Read more about Fuel sales plunge to lowest in year in India as states lock down for Covid on Business Standard. Oil demand across wide swathes of Asia has been hurt by resurgent coronavirus waves in recent months