NEW DELHI (AP) 鈥� India raised fuel prices by 3 rupees ($0.03) per liter Friday as the government moved to offset losses due to higher global oil prices.
In New Delhi, gasoline prices rose to 97.77 rupees ($1.17) a liter, while diesel climbed to 90.67 rupees ($1.09) a liter.
India imports about 90% of its oil and has been hit hard by rising energy prices and supply disruptions linked to the and the closure of the Strait of Hormuz. It had until now avoided raising retail fuel prices despite sharp increases in energy costs, making it one of the last major economies to pass higher crude prices on to consumers.
The price increases came days after Prime Minister Narendra Modi urged Indians to adopt voluntary austerity measures.
Modi on Sunday called on people to work from home where possible, limit foreign travel and reduce purchases of gold. He described fuel conservation and saving foreign exchange as an act of 鈥減atriotism,鈥� and encouraged greater use of public transportation, carpooling and lower fertilizer consumption.
Opposition leaders said Modi鈥檚 appeal came only after a had concluded, noting that fuel prices were kept unchanged during the campaign.
Earlier this week, India also raised import duties on gold and silver to 15% in an effort to curb demand for imports that drain foreign exchange reserves.
The Indian rupee has fallen to record lows in recent weeks as higher oil prices increased pressure on imports and foreign exchange reserves.
Meanwhile, India鈥檚 capital has become the first state to roll out austerity measures.
Authorities in New Delhi on Thursday announced fuel-saving measures, including mandatory work-from-home days for some government employees. Delhi Chief Minister Rekha Gupta said the 90-day campaign aims to reduce official fuel use and encourage people in the capital to rely more on public transportation instead of private vehicles.
Under the plan, employees whose work can be done remotely will work from home two days a week, while private companies are being encouraged to adopt similar measures voluntarily.
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