Pentagon seeks 0 billion for Iran war as Congress scrutiny and political divide intensify

Pentagon seeks $200 billion for Iran war as Congress scrutiny and political divide intensify


A bulldozer drives along a damaged street amid destruction after an Israeli strike on Beirut’s southern suburbs, following renewed hostilities between Hezbollah and Israel amid the U.S.-Israeli conflict with Iran, Lebanon, in Beirut, March 6, 2026. Picture taken with a mobile phone.
| Photo Credit:
REUTERS/Stringer

, The Pentagon is seeking USD 200 billion in additional funds for the Iran war, a sizable amount that is certain to be met with questions from Congress, which would need to approve any new money.

The department sent the request to the White House, according to a senior administration official, who spoke on condition of anonymity to discuss the private information. Asked about the figure at a press conference Thursday, Defense Secretary Pete Hegseth did not directly confirm the amount, saying it could change.

“It takes money to kill bad guys,” Hegseth said.

But he said “we’re going back to Congress and our folks there to ensure that we’re properly funded.”

Big price tag faces scrutiny over war

It’s an extraordinarily high number and comes on top of extra funding the Defense Department already received last year in President Donald Trump’s big tax cuts bill. Such a request would need to be approved by Congress, and it is not at all clear such spending would have political support. The nation’s debt has surged past a record USD 39 trillion.

Congress has been bracing for a new spending request but it is not clear the White House has transmitted the request for consideration. Lawmakers have not authorized the war, and Congress is showing growing unease with the military operation’s scope and strategy.

The new funding request was first reported by The Washington Post.

Trump said the administration is asking for the money for other reasons beyond Iran.

“This is a very volatile world,” the president said from the Oval Office. He said the emergency spending would be a “very small price to pay” to ensure the nation’s military stays in top shape.

While the House and Senate are controlled by the president’s Republican Party many of the more conservative lawmakers are also fiscal hawks, with little political appetite for big spending, on military operations or other matters. Most Democrats are likely to reject such a request and demand more detailed plans from the Trump administration about the US military goals and objectives.

Rep. Ken Calvert, the Republican chair of the House subcommittee with oversight over defense spending, said he was already advocating for a supplemental spending bill to allow the Pentagon to replenish munitions.

“That was going to happen, and now we have this conflict with some additional costs. So, that’s where we’re at,” Calvert of California said on Thursday.

“I know there are peripheral issues out there that people are concerned about, but right now, this is about our national security and it’s important that we get this done,” he said.

But Rep. Betty McCollum of Minnesota, the ranking Democrat on the House subcommittee with oversight over defense spending, said the president has taken the US into a war without coming to Congress and she’s demanding more details.

“This is not going to be a rubber stamp for the president of the United States,” McCollum said.

She said Congress is still waiting for the administration to explain where it would be spending the additional USD 150 billion funding that went to the Pentagon through Trump’s tax and spending cut bill. It’s also waiting on the president’s budget request for this year.

“I’m not writing blank checks to the Department of Defense,” McCollum said.

Negotiations ahead on a final package

It all points to a monumental battle ahead in Congress over any new Pentagon spending that would almost certainly need support from Republicans and Democrats in a bipartisan package to push past objections toward approval.

The requested amount would be a hefty boost to the Pentagon’s annual budget, which Congress approved at more than USD 800 billion for the current fiscal year.

That’s on top of some USD 150 billion that Congress gave the Defense Department in last year’s tax cuts bill, much of it for specific projects and overall upgrades to the Pentagon’s operations.

The nonpartisan Congressional Budget Office has projected that the federal government will run a USD 1.9 trillion annual deficit this year, and that’s before adding any spending done through a supplemental bill.

House Speaker Mike Johnson said it’s a “dangerous time” and “we have to adequately fund defence.” Asked whether he supported the amount, Johnson said he has not seen the details, but “I support what’s needed to ensure that the American people remain safe.” While some of the military’s biggest champions on Capitol Hill have welcomed new spending as a way to replenish munitions stockpiles and upgrade the US defence capabilities in the face of emerging threats, others will certainly point to health care and other domestic needs that they view as more important priorities.

Rep. Rosa DeLauro, the ranking Democrat on the House Appropriations Committee, said of the USD 200 billion price tag: “It’s outrageous.” To muscle a package to passage, Republican leaders could either try to go it alone through an arduous budget process, or cut deals with Democrats on other priorities that would likely balloon the overall price tag.

House Majority Leader Steve Scalise, R-La., signaled the negotiations ahead.

“Ultimately we’re going to have negotiations with the White House on an exact amount,” Scalise said. “We’re not at that point yet.”

Published on March 20, 2026



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Government expands CBG scheme to boost gas supply and cut LNG imports

Government expands CBG scheme to boost gas supply and cut LNG imports


Amid rising tensions in West Asia disrupting energy supplies, the government has expanded the CBG-CGD Synchronisation Scheme to allow compressed biogas injection into gas pipelines
| Photo Credit:
The Hindu

As conflict intensifies in West Asia, throttling energy supplies, the government has expanded the scope of the CBG-CGD Synchronisation Scheme to include the injection of compressed biogas (CBG) in the gas pipeline network.

A senior government official said that the Ministry of Petroleum and Natural Gas (MoPNG) on Wednesday extended the scope of the Synchronisation Scheme for co-mingling of domestic gas for supply to CNG (transport) and PNG (Domestic) segments of city gas distribution (CGD) networks.

The Ministry has expanded the scope of the Synchronisation Scheme to include the injection of CBG into the gas pipeline network. This is also in accordance with the revised scheme guidelines issued in August last year.

Boost to CBG offtake and utilisation

The primary objective of the scheme is to facilitate the off-take of CBG through cost-effective pipeline transportation from production facilities to consumption centres, and to ensure maximum utilisation.

This will lead to assured off-take for producers, lower logistics costs due to direct pipeline connectivity, uniform pricing, and reduced reliance on imported natural gas, said the official.

West Asia conflict disrupts energy supplies

The development comes at a time when tensions in West Asia are peaking after Israel attacked the South Pars gas field, following which Iran retaliated, targeting oil and gas infrastructure in Qatar, Saudi Arabia, the UAE and Kuwait. India sources 47 per cent of its Liquefied Natural Gas (LNG) supplies from Qatar.

Relief for domestic gas supply segments

A senior official with a CGD firm said that such a step will “effectively” help meet the shortfall in domestic supply for PNG (D) and CNG (T).

Since the fresh escalation in violence in West Asia, the government has been ensuring the supply of natural gas to priority sectors, including 100 per cent supply to PNG (D) and CNG (T), while supplies to industrial and commercial consumers are being regulated at around 80 per cent.

Push to expand PNG connections

The government is also trying to shift some commercial LPG consumers to PNG, and in this direction, it has activated more than 1.25 lakh PNG connections for domestic, commercial, industrial, and CNG use.

Published on March 19, 2026



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SBI Mutual Fund files DRHP for ₹13,000 crore IPO; SBI and Amundi to sell stakes

SBI Mutual Fund files DRHP for ₹13,000 crore IPO; SBI and Amundi to sell stakes


SBI Mutual Fund, India’s largest asset management company, has filed its DRHP to raise around ₹13,000 crore through an IPO. Promoters State Bank of India and Amundi will offload stakes in the offer.

India’s largest asset management company, SBI Mutual Fund, has filed its Draft Red Herring Prospectus to raise about ₹13,000 crore.

The fund house is a joint venture between the State Bank of India and France-based Amundi. While SBI will offload 128,334,397 equity shares, Amundi India Holding will sell 75,374,842 equity shares in the IPO, as per the DRHP filed with the SEBI.

Currently, SBI owns 61.98 per cent in SBI MF, while Amundi has a 36.40 per cent stake.

Market leadership and assets under management

SBI MF manages assets worth ₹16.32 lakh crore and holds a market share of 15.55 per cent in the mutual fund industry.

The fund house will become the seventh AMC to list on the stock exchange after Nippon Life India Asset Management, HDFC AMC, ICICI Prudential AMC, Aditya Birla Sun Life AMC, Canara Robeco AMC and UTI Asset Management Company.

The second-largest asset manager, ICICI Prudential AMC, commends a market capitalisation of ₹1.39 lakh crore. The fund house got listed last year.

In all, 9 investment banks, including Kotak Mahindra Capital, Axis Capital, Jefferies, SBI Capital, ICICI Securities, Motilal Oswal, HSBC Securities, JM Financial, and BofA Securities, will be managing the issue. Kfin Technologies will be the registrar for the offer.

Valuation and unlisted market buzz

SBI Fund Management aims to raise around ₹1.3 lakh crore through the IPO, translating to a price-to-earnings ratio of approximately 51 times, said an analyst.

In the unlisted market, the company’s shares are currently valued at about ₹1.5 lakh crore.

Published on March 19, 2026



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HDFC Bank has been repeatedly hauled up by regulators on compliance issues

HDFC Bank has been repeatedly hauled up by regulators on compliance issues


HDFC Bank has had several run-ins with regulators on compliance issues:

In June 2019, The RBI had imposed a penalty of ₹1 crore for non-compliance with directions on KYC/Anti-Money Laundering norms and on reporting frauds

* In December 2020, the RBI had directed HDFC Bank to temporarily suspend digital launches and stop onboarding new credit card customers, following persistent technical glitches over two years that resulted in outages. The restrictions were lifted in 2022

* In September 2024, it was fined ₹1 crore by the RBI, which found it had violated regulations relating to interest rates of deposits, recovery agents and customer services

* In December 2024, Securities and Exchange Board of India issued an administrative warning to the bank for non-compliance with merchant banking regulations

* In September 2025, the Dubai Financial Services Authority stopped the bank’s Dubai-based entity from onboarding new clients, on concerns over financial services being offered to clients not onboarded by the branch and issues with onboarding practices

* In November 2025, it was again fined ₹91 lakh by the RBI for using multiple benchmarks for the same loan category and KYC violations

Published on March 19, 2026



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Attack on gas facility in Qatar, impact will be felt in India too

Attack on gas facility in Qatar, impact will be felt in India too


A file photo of QatarEnergy’s liquefied natural gas (LNG) production facilities, amid the U.S.-Israeli conflict with Iran, in Ras Laffan Industrial City, Qatar March 2, 2026. REUTERS/Stringer/File Photo
| Photo Credit:
STRINGER

Extensive damage to what is known as world’s largest liquefied natural gas (LNG) hub — Qatar’s Ras Laffan Industrial City – meant deliveries to major Indian players in the sector such as Petronet LNG, GAIL, and GSPC being severely disrupted or ceased entirely.

Qatar is India’s single largest supplier, providing nearly 40–50 per cent of its total LNG imports.

The partnership between Petronet LNG and QatarEnergy has been seen as the cornerstone of India’s energy security for sometime now. In February 2024, Petronet renewed its contract with QatarEnergy for another 20 years (2028–2048). The agreement ensures a supply of 7.5 million tonnes per annum (mtpa) of LNG. The 2024 renewal was signed at significantly lower rates than previous terms, projected to save India approximately $6 billion over the contract period, according to reports.

GAIL (India) Ltd is currently facing a total suspension of its Qatari LNG supply. As the primary offtaker for gas imported via Petronet LNG, GAIL is the main conduit for this disruption into the Indian domestic market.

The ongoing conflict is also having an impact on natural gas and LNG prices. To meet the supply gap left by Qatar, India is scouting for cargoes from distant suppliers, which incur additional logistical and premium costs.  

Cost pressure

According to analysts, for every $10 increase in LNG prices, India’s energy import bill faces significant pressure, contributing to a broader $13–14 billion increase in total energy costs when combined with rising crude prices. The government is facing a massive spike in fertilizer subsidies, as the cost of gas (the primary feedstock for urea) has tripled. Many price-sensitive industrial consumers in the ceramics and glass sectors are being forced to switch to costly alternatives like LPG or fuel oil as spot LNG becomes unviable.

“Natural gas and LNG prices are headed sharply higher in the short-term, with Asian spot prices already doubling to $24-25 per MMBtu amid the supply shock and forward contracts for 2026 averaging around $13 per MMBtu the highest levels since 2022 as the Qatar outage offsets much of the projected global surplus,” Umud Shokri, energy strategist and senior visiting fellow at George Mason University told businessline.

However, if the production halt resolves within weeks and new capacities from the US and delayed Qatar expansions come online later in the year or 2027, prices could moderate toward a buyer’s market by year-end, though sustained regional tensions may keep volatility elevated through 2026, he said.

Let us look at the price. According to information available prices for fuel from the US and Norway are currently hovering around $15–18 per MMBtu at the source, but long shipping times (up to two months) and high freight costs make the delivered price much higher. Spot or emergency purchases as high as $23.08 to $28.28 per MMBtu for immediate March delivery.

While geographically closer than the US, Australian spot volumes are also tracking the surged JKM index ($25/MMBtu).

“The recent attacks on QatarEnergy’s LNG facilities in Ras Laffan and Mesaieed have halted production at the world’s largest export complex, triggering force majeure declarations and immediate supply disruptions to India, which relies on Qatar for 40-50 per cent of its LNG imports (around 10-11 mtpa out of total annual imports of 25-27 mtpa). This has forced Indian importers such as Petronet LNG to cut deliveries by up to 40 per cent, leading to reduced gas allocations for industries, city gas distribution networks, power generation and fertilizer plants,” Shokri said.

“The fallout includes higher operational costs, potential industrial slowdowns, and strain on energy security, as shipments through the Strait of Hormuz are also affected, exacerbating India’s dependence on imported gas for over 55 per cent of its needs,” he added.

Options for India

While New Delhi has been maintaining that it continues to closely monitor developments in Gulf and West Asia region and also working on various options, it is time to act and not watch, said industry observers.

“The options before India include urgently diversifying LNG sourcing from non-Middle Eastern suppliers such as the US, Australia, Papua New Guinea, and Russia via spot cargoes and new long-term contracts, with two alternative shipments already en route as per government updates,” Shokri said.

“Domestically, authorities are redirecting available natural gas and regasified LNG to priority sectors like power and fertilizers while rationing supplies to less critical users, alongside exploring increased domestic production and coal switching in some power plants. Longer-term strategies involve accelerating pipeline imports, expanding regasification terminals and negotiating flexible deals to build resilience against geopolitical risks,” he said.

Whatever efforts are being taken or done by New Delhi the situation will dent the economy.

“Bombings on producing gas fields in the Persian Gulf are a terrible news. It has shaken the oil and gas industry to the core globally. Needless to say, it will have devastating impact on prices for months to come. No oil and gas importing economy is insulated .. everyone is going to get seriously hurt,” said Narendra Taneja, Energy expert.

Published on March 19, 2026



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India’s corn exports may gain due to Iran war, other factors

India’s corn exports may gain due to Iran war, other factors


India will likely export 6.5 lakh tonnes of corn (maize) during the current marketing year to September
| Photo Credit:
REUTERS

India will likely export 6.5 lakh tonnes of corn (maize) during the current marketing year to September due to a slew of factors and the Iran war.

According to the US Department of Agriculture, projections of corn exports have been raised from 3.5 lakh tonnes in view of competitive pricing, strong regional demand, higher production and a change in the use of grains for ethanol.  

“Between October and December 2025, India exported about 400,000 tonnes of corn, double the volume for the same period in the last 2 years,” it said in its latest “Grains: World Markets and Trade” report.

Already higher than last fiscal

Corn exports surged to 3.69 million tonnes (mt) in the 2021-22 fiscal year before declining to 0.56 mt last fiscal, according to data from the Agricultural and Processed Food Products Export Development Authority. This year, shipments were pegged at 0.65 lakh tonnes in the first nine months of the current fiscal. 

“Indian corn is offered to Bangladesh at $220-230 a tonne. Brazil’s offers are at $260 a tonne,” said Harish Bengani,  Director of Kolkata-based Bengani Commodities Private Limited.

Bangladesh is looking for cheaper corn and is comfortable with Indian prices, he said.

Lower than MSP

M Madan Prakash, Director at Chennai-based Rajathi Group, said corn is delivered from the Nashik area to Mumbai port and from the southern region to the Tuticorn port at ₹19,000 a tonne. “At Mumbai, it is the old crop, while at Tuticorn, it is the new crop which is in demand,” he said. 

Data from Agmarknet, a unit of the Ministry of Agriculture, the weighted average price of wheat is currently ₹1,734.78 a quintal against the minimum support price of ₹2,400 fixed by the Government. During the same period last year, the price was ₹2,284.90.

The USDA said India’s corn harvest is forecast at a record 43 mt, up 1 mt more than 2024-25 and 5.3 mt higher than in 2023-24. 

Record harvests

According to the second advance estimates of the Ministry of Agriculture and Farmers’ Welfare, corn production during the current crop year to June is pegged at a record high of 30.25 mt in the kharif season and at a new high of 15.9 mt in the rabi season.

At least another 3.5 mt could be harvested during the summer or Zaid season. This year, the area under corn in the Zaid season, as of March 13, is 22,000 hectares lower than last year at 2.96 lakh hectares. 

A New Delhi-based trade analyst said corn is witnessing a rise in prices as the crop in Bihar has been delayed.

Awaiting Bihar crop

Bengani said exporters to Bangladesh are particularly awaiting the Bihar corn crop. “Bihar usually produces 2.2-2.5 mt of corn,” he said.

In addition, Telangana and Andhra Pradesh have reported good harvests, he said, adding that carryover stocks are ensuring ample supplies.

“We are getting enquiries from Vietnam and Colombo (Sri Lanka,” said the Kolkata-based firm’s director.

Prakash said demand for corn from Vietnam has increased after the Iran war broke out. 

The USDA said corn production has increased due to the growth of grain ethanol programme. Before 2023-24, most ethanol was made using sugarcane. 

Rebounding rice output impact

“To meet a 2025 deadline for E20 implementation, India began sourcing significant amounts of ethanol feedstock from grains, particularly corn, which formed around 46 per cent of new ethanol feedstocks in 2024-25,” it said. 

However, as rice supplies rebounded in 2025-26, the Indian government removed restrictions on the use of rice in ethanol production, shifting feedstock demand away from corn use. 

This year, corn with 35 per cent moisture was sold at ₹12,000-13,000 a tonne in Madhya Pradesh and Maharashtra. “You wouldn’t believe that there were no takers for it then,” said Bengani. 

The USDA said this helped buyers in Vietnam to get corn at $230 a tonne in December. “India is expected to play a larger role in South and South-East Asia this year,” it said. 

Published on March 19, 2026



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