The ongoing conflict in West Asia poses a risk to India's financial targets, particularly the government's goal of collecting ₹75,000 crore in dividends from central public sector enterprises (CPSEs) this fiscal year. With Brent crude oil prices remaining 32% above pre-war levels, state-run petroleum firms, which contributed ₹25,798 crore to last year's dividend collection, are likely to face profitability challenges. The overall dividend collection from CPSEs reached ₹78,438 crore last fiscal year, exceeding budget estimates for the fifth consecutive year. If the conflict persists, it could lead to higher global commodity prices, further straining CPSE profits. However, if the situation improves quickly, the impact on profitability may be minimal. The government has not yet revised its 2026-27 dividend target, but it may reassess the situation in the second half of the fiscal year if necessary. Additionally, the government's disinvestment revenue last fiscal year was ₹45,306 crore, slightly below the budget estimate but above the revised target.