Assocham Says India Can Grow Above 7% Despite Crude Costs

On April 22, 2026, Assocham released its outlook on India’s growth trajectory amid rising crude oil prices. The chamber emphasized that India’s fundamentals remain robust, supported by government reforms and private sector expansion.

Growth Drivers

Domestic demand: Rising consumption and urbanization continue to fuel growth.

Infrastructure push: Investments in roads, railways, and renewable energy strengthen long-term prospects.

Diversification: Efforts to reduce dependence on imported oil through renewables and alternative fuels.

Oil Price Impact

While higher crude prices can pressure inflation and the current account deficit, Assocham noted that India’s policy buffers and diversified energy mix mitigate risks. The chamber stressed that India’s growth story is not solely dependent on oil prices.

Policy Support

Government initiatives such as the PLI scheme, renewable energy expansion, and fiscal discipline are expected to sustain momentum. Assocham highlighted that India’s ability to absorb shocks reflects its structural strength.

Key Highlights

•⁠  ⁠India can grow above 7% even if crude hits USD 90–100/barrel

•⁠  ⁠Domestic demand and infrastructure investment drive resilience

•⁠  ⁠Diversified energy mix cushions oil price volatility

•⁠  ⁠Policy reforms and fiscal discipline support growth trajectory

•⁠  ⁠Assocham emphasizes India’s fundamentals remain strong despite global uncertainties

Sources: Business Standard, The Economic Times, Moneycontrol, Hindustan Times