Mint Views: Russia-Saudi Arabia price war; implications for Indian market

Oil prices suffered a historic collapse after Saudi Arabia launched a price war against Russia. The development comes after the implosion of the oil alliance between OPEC and Russia in their meeting held in Vienna. What implications does this have for the Indian economy? In general, lower oil prices are good for keeping inflation in check and improving its external balances, but these gains could be outweighed by the impact of the demand slump taking place not only in India but globally.