Oil PSUs end dealer credit amid profit losses
pre-market1 source ↓written by the desknot a recommendation
State-run oil companies have halted credit to petrol pump dealers, requiring same-day payment for fuel. This shift, affecting around 90% of fuel stations, comes as retailing turns loss-making. Dealers are now shortening credit terms, complicating cash flow management and potentially leading to reduced fuel orders. 💼
• Higher losses prompt credit withdrawal
• Dealers face cash flow challenges
• Fuel sales may decline further
Not investment advice. For informational purposes only.