India's government on Saturday lifted diesel price controls and raised the cost of natural gas, giving market forces greater sway as it seeks to attract energy investment, boost competition and cut subsidy costs, Reuters reported.
The decisions marked an acceleration in reform measures by Prime Minister Narendra Modi, who won a landslide general election victory in May and was buoyed by a strong showing in two state elections this week.
Lower prices of diesel and a smaller-than-expected rise in local gas rates will help Modi fulfill an election pledge to curb inflation and pull India's economy out of its longest slowdown since the 1980s.