Money News

India bans oil trade with Islamic State-linked organisations

A worker climbs down a parked oil tanker after he locked its lids at a yard outside a fuel depot on the outskirts of Kolkata February 3, 2015. REUTERS/Rupak De Chowdhuri/Files

NEW DELHI (Reuters) - India on Tuesday banned trade with Islamic State-linked entities in oil and other products, complying with a U.N. resolution to act against militants active in oil-rich countries such as Iraq, Syria and Libya.

"In compliance with United Nations Security Council Resolution ..., trade in oil and refined oil products, modular refineries and related materials, besides items of cultural (including antiquities), scientific and religious importance is prohibited," India's commerce ministry said in a notification. (

The rapid rise of Islamic State, which first emerged in Syria and Iraq, is worrying Western powers who fear the militant group will forge a base just across the Mediterranean from mainland Europe.

Iraq’s Prime Minister Haider al-Abadi earlier this month urged the international community to help prevent the group from gleaning profits from oil smuggling.

Reporting by Nidhi Verma, editing by David Evans