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Diesel price hiked by Rs. 3

     Govt. of India has hiked the diesel price by Rs. 3 from 25th July 2011. A litre of diesel which earlier costed around Rs. 42, now will cost around Rs. 45 per litre. Prices vary from city to city depending up on tax in that region.

     Insurance companies have raised the premium for diesel car by over 30% as insurers plan to compensate themselves for higher liabilities in the segment. Raising interest rates have already slowed down the cars sales and the hike in diesel prices have come as a salt on the wound. Car sales might not do well this year as compared to the bull run last year.

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