India vulnerable to Middle East conflict escalation, fears economic impacts

India appears to be the most exposed country to Middle East conflict outside the region itself, according to geopolitical risk analyses.

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The fact

This vulnerability stems from its energy dependence on the Middle East and significant commercial interests in the region.

Growing tensions could worsen inflationary pressures in India and complicate its medium-term economic trajectory.

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Auto-synthesis from 1 media source · identified on April 20, 2026