Submit :
News                      Photos                     Just In                     Debate Topic                     Latest News                    Articles                    Local News                    Blog Posts                     Pictures                    Reviews                    Recipes                    
Iraq crisis and its impact on India
The situation is Iraq is becoming more and more serious with each passing day. India too is concerned with whatever is going on in Iraq. Around 40 of its citizens had been abducted by the rebel group ISIS. Due to Iraqi crisis the crude oil prices have touched the mark of $115 per barrel.

India, which is facing a tough challenge at the inflation front, which has jumped to a 5-moth high figure in the month of May, may find it bit more difficult now in controlling it. It is because this rise in crude oil prices may force oil marketing agencies in India to go for a fuel hike.

To decode the repercussions of the Iraqi crisis on India in economic terms we talked to Indian economist DH Pai Panandiker. He says that there are both positive and negative impacts of the war.

Panandikar said, ?The economic complication will be that the international price of oil will be going up; the second one is that we import crude oil from Iraq, and if that supply is stopped, then we will have to look for more suppliers, and this will increase the price of oil also.?

Highlighting the positive impact he said, ?But among all these complications, one favourable thing is that, Iran which also has crude oil reserves and used to supply us, but because of the problems with America, no country has favoured to pay Iran in dollars. Now that there is a patch up between America and Iran because of this civil war, we may again pay them in dollars and get crude oil from there. This opens a new avenue for us.?

What could be the ultimate result of this ongoing war between Iraqi rebels and the governments security forces in Iraq? 

An expert on Middle East affairs Qamar Agha said, ?If we look at it, its just a religious conflict where Sunnis have revolted against Shia government. Even since the Americans have introduced democracy, Shia being a majority community got power and is controlling power for centuries. With the fall of Saddam Hussain, the power base has shifted from Sunni's to Shia's. The ISIS people are saying that, Shia may be in majority in Iraq, but the region is dominated by Sunni Muslims, so they are not ready to accept the Shia regime in Iraq. ?They are also saying that they don't want to be governed by Shia's and they believe that Shia's are non-muslims and they want to be ruled by Islamic divine lords.?

How this war could be stopped? Is American intervention inevitable now? Answering this question Agha said, ?I don't think, they (Americans) will agree to it. They said that they will come, but they have also said that they will not send troops on ground. And without sending troops, it is difficult to tackle ISIS' occupation.?

Email Id
Verification Code
Email me on reply to my comment
Email me when other CJs comment on this article
Sign in to set your preference
merinews for RTI activists

Not finding what you are looking for? Search here.