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LATEST NEWS UPDATES | Central excise duty on petrol and diesel cut, says FM Nirmala Sitharaman -Vikas Dhoot

Central excise duty on petrol and diesel cut, says FM Nirmala Sitharaman -Vikas Dhoot

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published Published on May 21, 2022   modified Modified on May 21, 2022

-The Hindu

The measures included a 8 reduction in central excise duty per litre of petrol and a 6 cut in the duty on diesel.

Finance Minister Nirmala Sitharaman unveiled a slew of measures to rein in runaway inflation on Saturday evening, including duty cuts on petroleum products, a 200 subsidy on LPG cylinders for the poor and a rejig of import duties on plastic and steel products.

A reduction in central excise duty per litre of petrol by 8 and 6 for each litre of diesel, will translate into retail prices on these fuels dropping by 9.5 per litre and 7 per litre, Ms. Sitharaman said.

The steps to check rising prices assume significance with retail inflation spiralling to 7.8% in April, the highest since the NDA government assumed office in 2014, and wholesale inflation hitting a multi-decade high of 15.1%. Economists expect the measures to help cool off inflation in May somewhere between 6.5% to 7% and supplement the central bank’s interest rate hikes to tame prices.

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The Hindu, 21 May, 2022, https://www.thehindu.com/business/Economy/union-finance-minister-nirmala-sitharaman-reduces-central-excise-duty-on-petrol-and-diesel/article65442859.ece?homepage=true


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