Both Brent and US crude are at their weakest since early 2009 after dropping for seven straight weeks as oversupply is clashing with slowing demand. They have plunged almost 60 per cent since June last year.
Patel's speech at an event was uploaded on the central bank's website on Tuesday.
The RBI deputy governor said the fall in oil prices will increase disposable incomes, reduce input cost of businesses and bring down energy subsidy burden.
"It (oil fall) saves, on an annualised basis, around $50 billion, roughly, one-third of our annual gross POL (Petroleum, Oil and Lubricants) imports of about $160 billion... But our external situation undoubtedly improves," Patel said.