India to raise 60 billion rupees from hike in excise duty on fuel: source

New Delhi: India expects to raise around 60 billion rupees ($975 million) from a hike in excise duties on petrol and diesel and the money will partly cover a shortfall in revenue collection so far this fiscal year, a finance ministry source said on Thursday.

Earlier, the government has raised excise duty by 1.50 rupees a litre each for the two fuels.

"Excise duty on petrol and diesel has been hiked to partly cover shortfall in tax collections," a senior finance ministry official told Reuters on condition of anonymity as he is not authorised to speak to the media.