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ICRA sees subdued outlook for oil refining sector

ICRA sees subdued outlook for oil refining sector

Rating agency ICRA reported a subdued outlook for oil refiners in the near term due to global capacity additions outstripping demand growth. The agency expects oil marketing companies to close the current fiscal year with high gross under-recoveries on account of high crude prices and a weakness in the rupee against dollar in the earlier part of FY14.