India Core Infrastructure Industries Up 7.6%
The infrastructure industries in India grew at the fastest rate during the five months to March at 7.6%. Growth levels for April are also looking good which could suggest a possible recovery for industrial production.
The Six core infrastructure industries – crude oil, petroleum refinery products, coal, electricity, cement and finished steel have a 26.7% weight in the index for industrial production. During 2010-2011 the output of these six infrastructure industries was at 5.9%, a 0.4% increase from the previous year. Steel output had one of the more significant increases from 9.9% in March from 7.7% last year.
The figures have been released the day before the Reserve Bank of India considers its monetary policy for the year. With the positive infrastructure figures, some experts are suggesting the RBI may not increase rates as sharply as previously predicted.