Modi says Iran war poses severe risks to India, urges cuts in fuel use and gold purchases

Narendra Modi, India's prime minister, speaks during a joint press statement with Lawrence Wong, Singapore's prime minister, not pictured, at Hyderabad House in New Delhi, India, on Thursday, Sep. 4, 2025. Prakash Singh | Bloomberg | Indian Prime Minister Narendra Modi on Sunday urged citizens to curb fuel use, reduce overseas travel, and pause gold purchases, underscoring the severe impact of the Iran war on the economy. Global fuel costs have surged, Modi said in a public address in the southern city of Hyderabad, appealing to Indians to use public transport, work from home, and carpool to conserve fuel. India is the latest among the growing number of Asian countries encouraging lower fuel consumption as energy costs climb amid tensions in the Middle East. On Sunday, President Donald Trump said Iran's counterproposal to end the war with the U.S., and Israel was "TOTALLY UNACCEPTABLE!", dashing hopes of peace and pushing global oil prices higher . India imports nearly 85% of its fuel needs and relies on the Strait of Hormuz for about 50% of its crude imports, 60% of its liquefied natural gas, and almost all of its liquefied petroleum gas (LPG) supplies. Higher energy costs are expected to significantly widen the country's trade deficit and current account deficit. The rupee has also come under strain and is trading near an all-time low against the dollar. …