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China launches new rhetorical broadside against Taiwan

China says attempts by Taiwan's government to block its goal of bringing the self-governing island under Beijing's control are like "stretching out an arm to block a car."

The new rhetorical broadside was launched late Tuesday against Taiwanese President Tsai Ying-wen following her announcement of guidelines to counter China's "one country, two systems" framework for political unification with the island.

The statement from the spokesman for the Chinese Cabinet's Taiwan Affairs Office, An Fengshan, accused Tsai of harming relations between the sides and using the welfare of the Taiwanese people as a "poker chip" for the sake of electoral gains.

China says Taiwan is a part of its territory that must be brought under its control by force if necessary.

Tsai was elected in 2016 and faces re-election next year.

Source: Fox News World

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Trump team has no plan to go to China for trade talks: official

Defense Secretary James Mattis welcomes Chinese Minister of National Defense Gen. Wei Fenghe to the Pentagon
FILE PHOTO: U.S. and Chinese flags are seen before Defense Secretary James Mattis welcomes Chinese Minister of National Defense Gen. Wei Fenghe to the Pentagon in Arlington, Virginia, U.S., November 9, 2018. REUTERS/Yuri Gripas

March 8, 2019

By David Lawder and Alexandra Alper

WASHINGTON (Reuters) – Trump administration officials have not made any new plans to send a team to China for face-to-face trade talks although there is much work left to be done to reach a deal, White House trade adviser Clete Willems said on Friday.

“We’re talking to them (Chinese officials) every day, but no one’s got any trip plans,” Willems told reporters on the sidelines of a Georgetown Law School event. When asked about the prospect for future face-to-face meetings, he said: “Maybe. But there are no plans right now.”

The governments of the world’s two largest economies have been locked in a tit-for-tat tariff battle for months as Washington presses Beijing to address long-standing concerns over Chinese practices and policies around industrial subsidies, technology transfers, market access and intellectual property rights.

Advances in talks drove the White House to indefinitely delay hikes in tariffs on $200 billion worth of Chinese imports that were set to kick in on March 2.

Willems said the two countries had made progress in talks but that there was still much more to be done. He declined to say whether Trump would set a new tariff deadline should the talks stall.

Members of Congress and the business community have expressed concerns that Trump is so eager for a deal ahead of presidential elections next year that he may accept an agreement that falls short of addressing key structural issues.

Willems pushed back against such concerns, saying the notion that Trump will settle for a “bad deal” is “totally inaccurate.”

U.S. Ambassador to China Terry Branstad told The Wall Street Journal on Friday that Washington and Beijing have yet to set a date for Trump to meet with Chinese President Xi Jinping — a sign that neither side sees a deal as imminent.

“Both sides agree that there has to be significant progress, meaning a feeling that they’re very close before that happens,” Branstad told the newspaper in Beijing. “We’re not there yet. But we’re closer than we’ve been for a very long time.”

One complicating factor has been Xi’s plans to visit Europe after a meeting of the National People’s Congress ends next week.

Larry Kudlow, the top White House economic adviser, gave Fox Business Network an optimistic view of the progress so far.

“It is historic, it is written down, it was agreed to by the Chinese who were here two weeks ago, but it has to pass through the political filter of President Xi and the politburo,” Kudlow said. “Perhaps a meeting of the leaders later this month or in April. Perhaps.”

Kudlow said the emerging deal would provide “an end to the theft of intellectual property” through forced technology transfers and hacking of computer networks.

“We will get substantially lower tariffs, or maybe an end to tariffs on cars, commodities, agriculture, industrial supplies. We will get an enforcement procedure,” he said.

“If the deal doesn’t work for the United States, and our long-term interests, whether it’s technology, IP, theft, enforcement, commodities, tariffs … then it’s not our deal.”

(Reporting by David Lawder and Alexandra Alper; Editing by Chizu Nomiyama, Jonathan Oatis and Sonya Hepinstall)

Source: OANN

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US Deep State Behind Arrest And Persecution Of Assange

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Source: InfoWars

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Haitian orphanage founder arrested in Dominican Republic

Police in the Dominican Republic have arrested a Haiti orphanage founder who's accused of molesting boys in his care.

National police spokesman Col. Frank Felix Duran Mejia confirmed Saturday that Michael Geilenfeld was taken into custody. He did not say whether any charges had been filed and declined to specify whether Geilenfeld would be extradited to the U.S. or another country.

Seven men have accused Geilenfeld of sexually abusing them as boys.

Geilenfeld is a U.S. citizen who contends the assertions have ruined his reputation, cost the Hearts with Haiti charity several million dollars in donations and led him to be falsely imprisoned for 237 days.

An abuse survivors group said Friday that Geilenfeld had fled to the Dominican Republic to avoid arrest and prosecution in Haiti.

Source: Fox News World

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Australia confirms Wikileaks’ Assange has valid passport

FILE PHOTO: Supporters of WikiLeaks founder Assange demonstrate in front of presidential palace regarding his Ecuadorian citizenship in Quito
FILE PHOTO: Supporters of WikiLeaks founder Julian Assange demonstrate in front of presidential palace regarding his Ecuadorian citizenship, in Quito, Ecuador, October 31, 2018, REUTERS/Daniel Tapia

February 23, 2019

By Alison Bevege

SYDNEY (Reuters) – Australia has confirmed that Julian Assange has a valid passport, a key development for the Wikileaks founder, who fears that Ecuador seeks to end his asylum in its London embassy and extradite him to the United States.

The new passport, which would allow Assange, who is in failing health, to return to Australia, was issued in September last year but remained unreported until Saturday. His previous passport had expired.

Senior officials of the Department of Foreign Affairs and Trade (DFAT) on Thursday told a Senate estimates hearing that Assange had a valid passport, reiterating a statement from last October.

Senator Rex Patrick of minority party Centre Alliance, who has taken up Assange’s cause in parliament, asked department officials if they had talked to the United States about safe passage for Assange if he left the embassy.

James Larsen, the department’s chief legal officer, said he was not aware of any U.S. proceedings against Assange and so there was nothing to discuss.

“I don’t have a record before me of what our engagement with the United States is specifically concerning Mr Assange,” he said.

“We are not aware, on the Australian government’s side, of any legal proceedings initiated within, or by, the United States, concerning Mr Assange.”

U.S. officials have acknowledged that federal prosecutors launched a lengthy criminal investigation into Assange and Wikileaks, which published U.S. diplomatic and military secrets under him.

Assange’s supporters remain convinced the United States will seek his extradition if he tries to leave the embassy.

“Day 2998 of the unlawful and arbitrary detention of Julian Assange in the United Kingdom,” the Defend Assange Campaign said in a message on social network Twitter on Thursday.

“U.S. government continues to seek his arrest and extradition for publishing the truth about the war in Iraq. He has been nominated for the 2019 Nobel Peace Prize.”

Assange first took asylum in the embassy in 2012, but his relationship with Ecuador has grown increasingly tense.

In December he was administered a series of medical tests, in line with new rules for his asylum at the embassy that prompted him to sue the government.

(Reporting by Alison Bevege; Editing by Clarence Fernandez)

Source: OANN

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Easter marred by Sri Lanka bombs, pope says in condemning blasts

Pope Francis leads the Easter Mass at St. Peter's Square
Pope Francis is seen after reading his "Urbi et Orbi" ("To the City and the World") message from the balcony overlooking St. Peter's Square at the Vatican April 21, 2019. REUTERS/Yara Nardi

April 21, 2019

By Philip Pullella

VATICAN CITY (Reuters) – Pope Francis, in his Easter Sunday address, condemned as “such cruel violence” the bombings in Sri Lanka that killed more than 100 people and were timed to coincide with the most important day in the Christian liturgical calendar.

Francis, speaking to a crowd of about 70,000 people in St. Peter’s Square, also urged politicians to shun a new arms race that was budding and to welcome refugees fleeing hunger and human rights violations.

The blasts in Sri Lanka, which hospital and police officials said killed at least 138 people and wounded more than 400 people, followed a lull in major attacks since the end of the civil war 10 years ago.

“I learned with sadness and pain of the news of the grave attacks, that precisely today, Easter, brought mourning and pain to churches and other places where people were gathered in Sri Lanka,” Francis said in his traditional Easter Sunday “Urbi et Orbi” (to the city and the world) message.

“I wish to express my affectionate closeness to the Christian community, hit while it was gathered in prayer, and to all the victims of such cruel violence,” the pope, who visited Sri Lanka in 2015, said.

Speaking from the central balcony of St. Peter’s Basilica, he appealed for peace in conflict areas.

“Before the many sufferings of our time, may the Lord of life not find us cold and indifferent,” he said, speaking in Italian after celebrating a Mass in the square.

“May he make us builders of bridges, not walls. May the One who gives us his peace end the roar of arms, both in areas of conflict and in our cities, and inspire the leaders of nations to work for an end to the arms race and the troubling spread of weaponry, especially in the economically more advanced countries,” he said.

Francis has made defense of migrants a key feature of his pontificate and has clashed over the immigration with politicians such as U.S. President Donald Trump and Italy’s Interior Minister Matteo Salvini who leads the anti-immigrant League party and has closed Italy’s ports to rescue ships operated by charities.

Easter commemorates the day Christians believe Jesus rose from the dead.

“May the Risen Christ, who flung open the doors of the tomb, open our hearts to the needs of the disadvantaged, the vulnerable, the poor, the unemployed, the marginalized, and all those who knock at our door in search of bread, refuge, and the recognition of their dignity,” Francis said.

He called for a solution to the conflict in Syria that responds to “people’s legitimate hopes for freedom, peace and justice” and favors the return of refugees.

Francis urged dialogue in order to end fighting in Libya, appealing to both sides to “choose dialogue over force and to avoid reopening wounds left by a decade of conflicts and political instability”.

He called for politicians in Venezuela “to end social injustices, abuses and acts of violence, and take the concrete

steps needed to heal divisions and offer the population the help they need”.

Francis encouraged the fragile peace process in mostly Christian South Sudan, whose leaders attended an unprecedented spiritual retreat earlier this month at the Vatican where he begged them to avoid returning to a civil war.

(Reporting by Philip Pullella; Editing by Susan Fenton)

Source: OANN

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Hungarian party faces discipline from center-right EU bloc

A senior lawmaker from Germany Chancellor Angela Merkel's party says Hungary's ruling Fidesz party may be suspended from the main center-right bloc in the European Parliament.

Prime Minister Viktor Orban's authoritarian style and anti-European Union, anti-migration policies have long put him at odds with many members of the European People's Party, whose delegates are meeting Wednesday to debate possible disciplinary measures against Fidesz.

Inge Graessle, an EU parliament lawmaker from Merkel's Christian Democratic Union, told Germany's SWR2 radio that she believes the EPP will "temporarily suspend his membership today — that is the step before expulsion — and then he can choose how he wants to continue."

Graessle said Orban, who had led Fidesz practically unchallenged since the early 1990s, "has to show credibly that he will change."

Source: Fox News World

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Members of The Cranberries, bassist Mike Hogan, drummer Fergal Lawler and guitarist Noel Hogan speak to Reuters during an interview in London
Members of The Cranberries, bassist Mike Hogan, drummer Fergal Lawler and guitarist Noel Hogan speak to Reuters during an interview in London, Britain, April 24, 2019. REUTERS/Gerhard Mey

April 26, 2019

By Hanna Rantala

LONDON (Reuters) – Irish rockers The Cranberries are saying goodbye with their final album released on Friday, a poignant tribute to lead singer Dolores O’Riordan who died last year.

“In the End” is the eighth studio album from the band that rose to fame in the early 1990s with hits likes “Zombie” and “Linger”, and includes the final recordings by O’Riordan, who drowned in a London hotel bath in January 2018 due to alcohol intoxication.

Work on the album began during a 2017 tour and by that winter, O’Riordan and guitarist Neil Hogan had penned and demoed 11 tracks.

With O’Riordan’s vocals recorded, Hogan, bassist Mike Hogan and drummer Fergal Lawler completed the album in tribute to her.

“When we realized how strong the songs were, that was the deciding factor really… There was no point… trying to ruin the legacy of the band,” Noel Hogan said in an interview.

“It was obvious that Dolores wanted this album done because when you hear the album, you hear the songs and how strong they are, and she was very, very excited to get in and record this.”

The Cranberries formed in Limerick in 1989 with another singer. O’Riordan replaced him a year later and the group went on to become Ireland’s best-selling rock band after U2, selling more than 40 million records.

O’Riordan, known for her strong distinctive voice singing about relationships or political violence, was 46 when she died.

“She was actually in quite a good place mentally. She was feeling quite content and strong and looking forward to a new phase of her life,” Lawler said.

“A lot of the lyrics in this album are about things ending… people might read into it differently but it was a phase of her personal life that she was talking about.”

The group previously announced their intention to split after the release of “In The End”.

“We are absolutely gutted we can’t play (the songs) live because that’s something that’s been a massive part of this band from day one,” Noel Hogan said.

“A few people have said to us about maybe even doing a one off where you have different vocalists… as kind of guests of ours. A year ago that’s definitely something we weren’t going to entertain but I don’t know, I think it’s something we need to go away and take time off for the summer and have a think about.”

Critics have generally given positive reviews of the album; NME described it as “(seeing) the band’s career go full-circle” while the Irish Times called it “an unexpected late career high and a remarkable swan song for O’Riordan”.

Their early songs still play on the radio. This week, “Dreams” was performed at the funeral of journalist Lyra McKee, who was shot dead in Londonderry last week as she watched Irish nationalist youths attack police following a raid.

“We wrote them as kids, as a hobby and 30 years later they are on radio and on TV, like all the time… That’s far more than any of us ever thought we would have,” Noel Hogan said.

“That would make Dolores really happy because she was very precious about those songs. Her babies, she called them and to have that hopefully long after we’re gone… that’s all any band can wish for.”

(Reporting by Hanna Rantala; additoinal reporting by Marie-Louise Gumuchian; Writing by Marie-Louise Gumuchian; Editing by Susan Fenton)

Source: OANN

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2020 Democratic presidential candidate Elizabeth Warren participates in the She the People Presidential Forum in Houston
2020 Democratic presidential candidate Elizabeth Warren participates in the She the People Presidential Forum in Houston, Texas, U.S. April 24, 2019. REUTERS/Loren Elliott

April 26, 2019

By Joshua Schneyer and M.B. Pell

NEW YORK (Reuters) – Senator Elizabeth Warren will introduce a bill Friday that offers new protections for U.S. military families facing unsafe housing, following a series of Reuters reports revealing squalid conditions in privately managed base homes.

The Reuters reports and later Congressional hearings detailed widespread hazards including lead paint exposure, vermin infestations, collapsing ceilings, mold and maintenance lapses in privatized base housing communities that serve some 700,000 U.S. military family members.

(View Warren’s military housing bill here. https://tmsnrt.rs/2Dy5aht)

(Read Reuters’ Ambushed at Home series on military housing here. https://www.reuters.com/investigates/section/usa-military)

The Massachusetts Democrat’s bill would mandate both regular and unannounced spot inspections of base homes by certified, independent inspectors, holding landlords accountable for quickly fixing hazards. The military’s privatization program for years allowed real estate firms to operate base housing with scant oversight, Reuters found, leaving some tenants in unsafe homes with little recourse against landlords.

The bill would also require the Department of Defense and its private housing operators to publish reports annually detailing housing conditions, tenant complaints, maintenance response times and the financial incentives companies receive at each base. The provisions aim to enhance transparency of housing deals whose finances and operations the military had allowed to remain largely confidential under a privatization program since the late 1990s.

The measure would also require private landlords to cover moving costs for at-risk families, and healthcare costs for people with medical conditions resulting from unsafe base housing, ensuring they receive continuing coverage even after they leave the homes or the military.

“This bill will eliminate the kind of corner-cutting and neglect the Defense Department should never have let these private housing partners get away with in the first place,” Warren said in a statement Friday.

The proposed legislation comes after February Senate hearings where Warren, a member of the Senate Armed Services Committee who is seeking the Democratic nomination for the 2020 U.S. presidential election, slammed private real estate firms for endangering service families, and sought answers about why military branches weren’t providing more oversight.

Her legislation would direct the Defense Department to allow local housing code enforcers onto federal bases, following concerns they were sometimes denied access. Warren’s office said a companion bill in the House of Representatives would be introduced by Rep. Deb Haaland, Democrat of New Mexico.

In response to the housing crisis, military branches are developing a tenant bill of rights and hiring hundreds of new housing staff. The branches recently dispatched commanders to survey base housing worldwide for safety hazards, resulting in thousands of work orders and hundreds of tenants being moved. The Defense Department has pledged to renegotiate its 50-year contracts with private real estate firms.

Congress has been quick to take its own measures. Earlier legislation proposed by senators Dianne Feinstein and Kamala Harris of California, along with Mark Warner and Tim Kaine of Virginia, would compel base commanders to withhold rent payments and incentive fees from the private ventures if they allow home hazards to persist.

(Editing by Ronnie Greene)

Source: OANN

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FILE PHOTO: Offices of Deloitte are seen in London
FILE PHOTO: Offices of Deloitte are seen in London, Britain, September 25, 2017. REUTERS/Hannah McKay/File Photo

April 26, 2019

By Noor Zainab Hussain and Tanishaa Nadkar

(Reuters) – Deloitte quit as Ferrexpo’s auditor on Friday, knocking its shares by more than 20 percent, days after saying it was unable to conclude whether the iron ore miner’s CEO controlled a charity being investigated over its use of company donations.

Blooming Land, which coordinates Ferrexpo’s Corporate Social Responsibility (CSR) program, came under scrutiny after auditors found holes in the charity’s statements.

Ferrexpo on Tuesday said findings of an ongoing independent investigation launched in February indicated some Blooming Land funds could have been “misappropriated”. It did not provide any details or publish its findings.

Shares in Ferrexpo, the third largest exporter of pellets to the global steel industry, were 23.4 percent lower at 206.1 pence at 1022 GMT following news of Deloitte’s resignation.

“Ferrexpo’s shares are deeply discounted vs peers … following the resignation of Deloitte, we expect downside risks to dominate Ferrexpo’s shares near term.” JP Morgan analyst Dominic O’Kane said in a note on Friday.

Swiss-headquartered Ferrexpo did not provide a reason for the resignation of Deloitte, which declined to comment, while Blooming Land did not respond to a request for comment.

Funding for Blooming Land’s CSR activities is provided by one of Ferrexpo’s units in Ukraine and Khimreaktiv LLC, an entity ultimately controlled by Ferrexpo’s CEO and majority owner Kostyantin Zhevago, Ferrexpo said on Tuesday.

Ferrexpo’s board has found that Zhevago did not have significant influence or control over the charity, but Deloitte said it was unable reach a conclusion on this.

Reuters was not immediately able to contact Zhevago.

In a qualified opinion, a statement addressing an incomplete audit, Deloitte said it had been unable to conclude whether $33.5 million of CSR donations to Blooming Land between 2017 and 2018 was used for “legitimate business payments for charitable purposes”.

Deloitte said on Tuesday that total CSR payments made to Blooming Land by Ferrexpo since 2013 total about $110 million.

Ferrexpo, whose major mines are in Ukraine, has said that the investigation was ongoing and new evidence pointed to potential discrepancies.

Zhevago, 45, who ranked 1,511 on Forbes magazine’s list of billionaires for 2019 with a net worth of $1.4 billion, owns the FC Vorskla soccer club and has been a member of Ukraine’s parliament since 1998.

(Reporting by Noor Zainab Hussain and Tanishaa Nadkar in Bengaluru and additional reporting by Pavel Polityuk in Kiev; editing by Gopakumar Warrier, Bernard Orr)

Source: OANN

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Children walk past a damaged building in the aftermath of the Cyclone Kenneth in Pemba
Children walk past a damaged building in the aftermath of the Cyclone Kenneth in Pemba, Mozambique April 26, 2019 in this still image obtained from social media. SolidarMed via REUTERS ATTENTION EDITORS – THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. MANDATORY CREDIT. NO RESALES. NO ARCHIVES

April 26, 2019

By Emma Rumney and Stephen Eisenhammer

JOHANNESBURG/LUANDA (Reuters) – Cyclone Kenneth killed at least one person and left a trail of destruction in northern Mozambique, destroying houses, ripping up trees and knocking out power, authorities said on Friday.

The cyclone brought storm surges and wind gusts of up to 280 km per hour (174 mph) when it made landfall on Thursday evening, after killing three people in the island nation of Comoros.

It was the most powerful storm on record to hit Mozambique’s northern coast and came just six weeks after Cyclone Idai battered the impoverished nation, causing devastating floods and killing more than 1,000 people across a swathe of southern Africa.

The World Food Programme warned that Kenneth could dump as much as 600 millimeters of rain on the region over the next 10 days – twice that brought by Cyclone Idai.

One woman in the port town of Pemba died after being hit by a falling tree, the Emergency Operations Committee for Cabo Delgado (COE) said in a statement, while another person was injured.

In rural areas outside Pemba, many homes are made of mud. In the main town on the island of Ibo, 90 percent of the houses were destroyed, officials said. Around 15,000 people were out in the open or in “overcrowded” shelters and there was a need for tents, food and water, they said.

There were also reports of a large number of homes and some infrastructure destroyed in Macomia district, a mainland district adjacent to Ibo.

A local group, the Friends of Pemba Association, had earlier reported that they could not reach people in Muidumbe, a district further inland.

Mark Lowcock, United Nations under-secretary-general for humanitarian affairs, warned the storm could require another major humanitarian operation in Mozambique.

“Cyclone Kenneth marks the first time two cyclones have made landfall in Mozambique during the same season, further stressing the government’s limited resources,” he said in a statement.

FLOOD WARNINGS

Shaquila Alberto, owner of the beach-front Messano Flower Lodge in Macomia, said there were many fallen trees there, and in rural areas people’s homes had been damaged. Some areas of nearby Pemba had no power.

“Even my workers, they said the roof and all the things fell down,” she said by phone.

Further south, in Pemba, Elton Ernesto, a receptionist at Raphael’s Hotel, said there were fallen trees but not too much damage. The hotel had power and water, he said, while phones rang in the background. “The rain has stopped,” he added.

However Michael Charles, an official for the International Federation of the Red Cross and Red Crescent Societies (IFRC), said heavy rains over the next few days were likely to bring a “second wave of destruction” in the form of flooding.

“The houses are not all solid, and the topography is very sandy,” Charles said.

In the days after Cyclone Idai, heavy inland rains prompted rivers to burst their banks, submerging entire villages, cutting areas off from aid and ruining crops. There were concerns the same could happen again in northern Mozambique.

Before Kenneth hit, the government and aid workers moved around 30,000 people to safer buildings such as schools, however authorities said that around 680,000 people were in the path of the storm.

(Reporting by Emma Rumney and Stephen Eisenhammer; Writing by Emma Rumney; Editing by Janet Lawrence and Alexandra Zavis)

Source: OANN

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A worker holds a nozzle to pump petrol into a vehicle at a fuel station in Mumbai
FILE PHOTO: A worker holds a nozzle to pump petrol into a vehicle at a fuel station in Mumbai, India, May 21, 2018. REUTERS/Francis Mascarenhas

April 26, 2019

By Manoj Kumar and Nidhi Verma

NEW DELHI (Reuters) – Surging global oil prices will pose a first big challenge to India’s new government, whoever wins an election now under way, especially as domestic prices have been allowed to lag, meaning consumers are in for a painful surge as they catch up.

For oil-import dependent India, higher global prices could lead to a weaker rupee, higher inflation, the ruling out of interest rate cuts and could further weigh on twin current account and budget deficits, economists warned.

But compounding the future pain, state-run fuel suppliers and retailers have held off passing on to consumers the higher prices during a staggered general election, which began on April 11 and ends on May 23, according to sources familiar with the situation.

That delay is expected to be unwound once the election is over. And there could be additional price increases to make up for losses or profits missed during the period of delayed increases, the sources said.

In some major Asian countries, such as Japan and South Korea, pump prices are adjusted periodically so they move largely in tandem with international crude prices.

That was what was supposed to happen in India but the election means there have been many days when pump prices have been unchanged.

In New Delhi, for example, while crude oil prices have gone up by nearly $9 a barrel, or about 12 percent, in the past six weeks, gasoline prices have only risen by 0.47 rupees a liter, or 0.6 percent.

State-controlled fuel suppliers and retailers declined to say why they had delayed price increases, or discuss whether there has been any pressure from the government of Prime Minister Narendra Modi.

A government spokesman declined to comment.

The opposition Congress party said Modi’s government was violating its own policy of daily price revision by advising the state oil companies to hold prices steady.

“The government should cut fuel taxes otherwise consumers will have to pay much higher oil prices once the elections are over,” said Akhilesh Pratap Singh, a senior leader of the Congress party.

(GRAPHIC: India Polls: Fuel price hike lags crude surge – https://tmsnrt.rs/2XLlxik)

Nitin Goyal, treasurer at the All India Petroleum Dealers Association, representing fuel stations in 25 states, said prices were similarly held down for 19 days in the southern state of Karnataka last year, when it held state assembly elections.

Only for them to surge after the vote.

“Consumers should be ready for a rude shock of a massive jump in retail prices, similar to the level we have seen in the Karnataka state election,” Goyal said.

‘CREDIT NEGATIVE’

Sri Paravaikkarasu, director for Asia oil at Singapore-based consultancy FGE, said retail prices of gasoline and gasoil prices would have been up to 6 percent, or about 4 rupee, higher if they had been allowed to rise in line with global prices.

“Indian pump prices have failed to keep up with the recent uptrend in crude prices,” Paravaikkarasu said.

“With the country’s general elections underway, the incumbent government has been keeping pump prices relatively unchanged.”

India had switched to a daily price revision in June 2017 from a revision every two weeks, as the government allowed retailers to set prices.

But the government faced protests last October when retailers raised prices by up to 10 rupees a liter after the crude oil price went above $80 a barrel, forcing it to cut fuel taxes.

Global prices rose to their highest level in 2019 on Thursday, days after the United States announced all Iran sanction waivers would end by May, pressuring importers including India to stop buying Tehran’s oil. [O/R]

Higher oil prices will mean Asia’s third largest economy is likely to see growth of less than 7 percent rate this fiscal year, economists said. Growth slowed to 6.6 percent in the October-December quarter, the slowest in five quarters.

Rating agency CARE has warned that a 10 percent rise in global oil prices could increase demand for dollars, putting pressure on the rupee and widening the current account deficit.

India’s oil import bill rose by nearly one-third in the fiscal year ending March 31 to $140.5 billion, against $108 billion the previous year.

“The increase in international oil prices is a credit negative for the Indian economy,” ICRA, the Indian arm of the Fitch rating agency, said in a note.

“Every $10/ bbl increase in crude oil prices increases the fiscal deficit by about 0.1 percent of GDP.”

Any big price rise would also build a case for the central bank to keep rates steady, or even raise them.

The Reserve Bank of India’s Monetary Policy Committee, which cut the benchmark policy repo rate by 25 basis points this month, warned that rising oil and food prices could push up inflation.

Policymakers are worried that a sustained increase in the oil price in the range of $70-75/barrel or higher can move the rupee down by 3-4 percent on an annual basis.

The rupee has depreciated by 1.24 percent against the dollar since a year high in mid-March.

($1 = 70.1800 Indian rupees)

(Reporting by Manoj Kumar and Nidhi Verma; Editing by Martin Howell and Rob Birsel)

Source: OANN

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