Narendra Modi has appealed to Indians to reduce travel, hold off on purchasing gold, and start working from home to conserve fuel and foreign exchange as the shortages caused by the US-Israeli war on Iran deepen.
Addressing a public meeting on Sunday, the prime minister urged people to use public transport and electric vehicles and revive the Covid-era measure of working from home.
Asking citizens to put the “country above all else”, Mr Modi urged: “Use metros wherever metros are available. Use car-pooling to go to places, and use the railways if you have to transport goods. All of this will reduce dependency on petrol and diesel and, thereby, cut the dependence on foreign currency.”
Arguing that Covid-era measures were the need of the hour, he told people to revert to the methods developed during the pandemic, including virtual meetings and video conferencing.
However, his appeal was met with raised eyebrows on social media as users quickly flagged that Mr Modi was preparing to go on a five-nation tour of the Gulf and Europe from 15 to 20 May.
A jump in crude oil prices after the US-Iran peace talks hit a stalemate and Mr Modi's appeal spooked currency traders on Monday, sending the rupee past 95 per US dollar.
Indian assets were under pressure across the board, with the rupee falling 0.75 per cent to 95.1850 per dollar, the benchmark equity index Nifty 50 shedding over 1 per cent and the yield on the 10-year-benchmark note rising 5 basis points to 7.03 per cent.
Gold fell 1 per cent on Monday, as elevated oil prices stoked worries over inflation and prolonged high interest rates.
The renewed pressure on Indian markets came after US president Donald Trump on Sunday rejected Iran's response to a US proposal for talks to end the war, saying Tehran's demands were "totally unacceptable".
Brent oil futures jumped 4 per cent in Asian trade to $105.7 a barrel. Higher oil prices are a major risk for net energy importer India and threaten to widen the country's current account deficit, slow growth and stoke inflation.
Han Tan, chief market analyst at cryptocurrency exchange Bybit, said: "Inflation risks still weigh heavy on the market's collective mind, as attempts to end the Middle East conflict reached an impasse after the US and Iran rejected each other's peace proposals.”
Gold prices have fallen more than 11 per cent since the war began in late February, pressured by higher oil prices. While gold is seen as an inflation hedge, high rates tend to weigh on the non-yielding asset.
The Reserve Bank of India has sold dollars from its foreign exchange reserves to defend the currency, cracked down on arbitrage activity, and is considering measures to shore up dollar inflows.
However, in a bid to conserve foreign exchange, the prime minister also urged the middle class to “postpone travelling abroad for at least a year”, especially those taking vacations overseas and having weddings at foreign venues.
He also asked the people to reduce the use of cooking oil by 10 per cent, saying “this will not only help the nation during these times but also improve the health of your family”.
The prime minister advocated for greater use of indigenous products, asking people to list down the things they used daily and identify foreign-made items. “Efforts should be on to build self-reliance as soon as possible,” he said, while clarifying that he was not asking people to throw away foreign goods.
“We have to save foreign exchange by any means,” he said.
However, less than a day after the appeal, the prime minister held a roadshow in his home state of Gujarat to mark 75 years of the consecration of Somnath temple.
At Somnath, one can experience Bhakti in every corner. Countless people have come together to mark 75 years since the rebuilt Temple opened its doors to devotees. That day was indeed a milestone in the civilisational journey of Bharat. pic.twitter.com/wvNbmAN5V8
— Narendra Modi (@narendramodi) May 11, 2026
The leader of opposition, Rahul Gandhi, criticised the prime minister for his message, calling it “evidence of failure” of his Hindu-nationalist Bharatiya Janata Party government.
"Yesterday, Modi called upon the public to make sacrifices – do not buy gold, do not travel abroad, consume less petrol, cut down on fertilisers and cooking oil, take the Metro, and work from home," Mr Gandhi posted on X in Hindi. “These are not words of counsel. They are evidence of failure.”
He condemned the prime minister for shifting the “responsibility onto the people” during a time of crisis as a way to “escape accountability themselves”.
“Running the country is no longer within the reach of a compromised PM.”
Analysts at MUFG said in a note: "As energy-related disruptions linger, rising risks of fuel shortages could pose a more differentiated challenge... particularly for economies with relatively low crude inventory buffers. This includes India and several Asean markets such as the Philippines, Vietnam, and Indonesia.”
Social media users and journalists criticised the prime minister for making the appeal while going ahead with his European tour and a roadshow in the country.
That is why Modi is leading by example, criss crossing the country in flights, choppers and convoys for inessential events, political roadshows and fancy inaugurations. Practise what you preach. https://t.co/xaXMnM8jzR
— Sushant Singh (@SushantSin) May 11, 2026
“That’s why Modi is leading by example, criss-crossing the country in flights, choppers and convoys for inessential events, political roadshows and fancy inaugurations,” senior journalist Sushant Singh noted. “Practise what you preach.”
If you choose an illiterate clown, you'll only get a circus. 🤡
— Shruti Dhore (@ShrutiDhore) May 11, 2026
Yesterday, Modi was talking about saving petrol, and today, for his own amusement, he's flying fighter jets over the Somnath Temple. #Petrol #PMModi #SomnathVirasatK75Yarsh pic.twitter.com/TZU0yCuGbS
“If you choose an illiterate clown, you'll only get a circus,” a social media user named Shruti Dhore said. “Yesterday, Modi was talking about saving petrol, and today, for his own amusement, he's flying fighter jets over the Somnath temple.”
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