D&B sees IIP growth at 2.5-3.5%
- IPL spot-fixing case: Actor Vindoo Dara Singh arrested in Mumbai
- Supreme Court rules out ban on IPL matches, slams BCCI over spot-fixing
- Li Keqiang pitches for more Chinese investments as he backs trade balance
- Narendra Modi holds talks with Advani ahead of BJP's strategy meeting in Delhi
- Aarushi murder case: HC rejects Talwars' plea to examine 14 witnesses
Industrial growth is expected to remain below 5 per cent for the next couple of quarters unless the pace of clearances for projects and input supplies improve and investment cycle picks up, says a report.
According to research firm Dun and Bradstreet, Index of Industrial Production (IIP) is likely to yield positive growth during the month of October this year partly due to low base and added that IIP growth is expected to remain in the range of 2.5-3.5 per cent during October.
Industrial output in September contracted by 0.4 per cent due to poor performance of the manufacturing sector and decline in consumer as well as capital goods output.
The industrial output growth rate turned negative in September after showing 2.3 per cent growth in the previous month. IIP was 2.5 per cent in corresponding month last year.
"While the contraction in external demand persists, the domestic demand also continues to moderate. These pose significant constraints to the industrial activity and revival of the investment scenario," Dun & Bradstreet India Senior Economist Arun Singh said.
The economic growth rate slipped to a nine-year low of 6.5 per cent in 2011-12. The Reserve Bank had projected 5.8 per cent growth rate for 2012¿13.
Singh further noted that industrial production is likely to remain subdued in the near term and will gather pace depending upon how the government acts in terms of implementation of the announced measures coupled with initiating new ones.
"Appropriate and timely policy announcements and implementations at this stage are crucial to boost the overall sentiment and encourage the private sector participation. Clearances and fast tracking of infrastructure projects and ensuring a conducive business environment is vital for the revival of the industrial activity and hence the growth going ahead," Singh added.
- 'Sophisticated' Indian cyberattacks targeted Pak military sites: Report
- Talkative Li quoted Weber, Hegel, Jobs, said PM is large-hearted
- Bihar food corp ends up with chaff as rice worth Rs 535 cr vanishes from mills
- In 7 lucrative minutes on May 9, Sreesanth bowled 6 balls, bookie made Rs 2.5 cr
- India and China ask border envoys to work on more steps
- Former Ranji player among 3 more held