India plans to save over 8.5 billion US dollar in foreign exchange this fiscal by increasing crude oil imports from Iran. The country which paid over 144 billion dollar last fiscal for
importing oil, is renewing imports from Iran as unlike imports from other countries it pays the Persian Gulf nation in rupees. Detailing plans to save 20 billion dollar in foreign exchange spending, Moily on August 30 wrote to Prime Minister Manmohan Singh saying about 11 million tonnes of crude will be imported from Iran in the remainder of the fiscal.The plan is in response to Prime Minister's call to the ministry seeking 25 billion dollar cut in oil import bill to narrow current account deficit.

Moily, who also wrote an almost identical letter to Finance Minister P Chidambaram, said he has worked out some concrete measures which could result in a saving of around 19-20 billion dollars in the current financial year.