A recent report by SBI has indicated that India’s import bill will see an increase of USD 11.7 billion (Rs 1027260000000 in INR) in FY27 if it stops importing crude oil from Russia.
Updated: August 8, 2025 4:31 PM IST
New Delhi: In a significant development amid the imposition of increasing tariffs and penalties on India by the US led by President Donald Trump, India’s largest bank, the State Bank of India (SBI) has indicated in its report that India’s crude oil import bill could increase by USD 9 billion to USD 12 billion, if the country stops buying Russian crude oil. Here are all the details you need to know about how much oil Russia is exporting to India and what has the SBI said on the loss if India stops importing oil from Russia.
What happens if India stops oil imports from Russia?
As reported by news agency ANI, SBI stated “if India stopped oil imports from Russia during the rest of FY26, then India’s fuel bill might increase by only USD 9 billion”.
The report noted that if India halted oil imports from Russia for the rest of FY26, the fuel bill might increase by USD 9 billion in FY26 and USD 11.7 billion (Rs 1027260000000 in INR) in FY27 due to increase in prices.
How much oil is India importing from Russia?
India substantially increased purchasing of Russian oil since 2022, which was sold at a discount, capped at USD 60 per barrel, to ensure energy security after Western nations imposed sanctions on Moscow and avoided its supplies following the invasion of Ukraine.
The ANI report also says that Russia currently accounts for 10 per cent of the global crude supply. If all countries stopped buying from Russia, crude oil prices could rise by around 10 per cent, provided no other countries increase their production.
How Russia-Ukraine war impacted oil import from Russia?
As a result, Russia’s share in India’s total oil imports surged from just 1.7 per cent in FY20 to 35.1 per cent in FY25, making Russia India’s largest oil supplier. In volume terms, India imported 88 million metric tonnes (MMT) of crude from Russia in FY25, out of its total oil imports of 245 MMT.
Before the Ukraine war, Iraq was India’s top crude supplier, followed by Saudi Arabia and the United Arab Emirates (UAE).
(With inputs from agencies)
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