Prime Minister Narendra Modi on Friday denied reports claiming that the government is considering imposing a “tax or surcharge” on foreign travel amid rising oil prices due to the crisis in West Asia.
These reports, which the Prime Minister described as “false”, emerged on the same day when petrol and diesel prices were raised in India for the first time in more than four years following a sharp rise in global crude oil prices due to the US-Iran war.
PM rejects ‘foreign travel tax’ claims.
A CNBC-TV18 report claimed that the Center was discussing imposing a temporary tax on foreign travel to manage growing financial pressures caused by rising crude oil prices.
In a rare direct reaction, Modi rejected the report and said there was “not an iota of truth” in it.
“This is completely untrue. There is not an iota of truth in this. There is no question in placing such restrictions on foreign travel. We remain committed to improving the ‘ease of doing business’ and ‘ease of living’ for our people,” he wrote in a post on X.
This also puts an end to speculation about possible restrictions or additional fees on international travel.
Soon after Modi’s statement, the media retracted the report. “Our story about the government considering taxes/exemptions on foreign travel is not accurate. We are retracting the story and regret the error,” it was posted on X.
These reports come at a time of concern about increasing fuel prices and the economic impact of tensions in West Asia.
It is worth noting that India imports more than 85 percent of its crude oil needs, and is under pressure due to rising global energy prices.
An appeal to the Prime Minister to save fuel
Modi on Sunday urged people to use fuel carefully and consider postponing gold purchases and foreign travel, among other steps, to boost the economy.
“We have to save foreign exchange by any means,” he said, adding that gasoline and fertilizer prices had risen sharply due to the conflict in West Asia.
He said disruptions in supply chains created more challenges despite the government’s efforts to manage the situation. He added: “That is why, during the global crisis, we must, while keeping the country above everything else, make decisions.”
“We have started working from home, virtual meetings, video conferencing and many other methods during Covid-19. We have become accustomed to them. The need of the hour is to resume these methods,” Modi said.
He also called for reducing consumption of edible oil, reducing the use of chemical fertilisers, promoting natural agriculture, and promoting swadeshi products to help save foreign exchange and make the country self-reliant.
